Patricia Kennedy,  Home in the Capital (RLAH@Properties)

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Rainmaker
608,881
Mitchell J Hall
Manhattan, NY
Lic Associate RE Broker - Manhattan & Brooklyn

I beleive pricing a condo (CMA) is as much of an art as a science. While square footage is an important factor there are attributes and variables that can add to value that is not always reflected in the square footage. 

2 identical condo units may have the same layout and identical square footage but one faces the back of another building and the other has unobstructed park views. The park view unit may be worth 50% more. 

A higher floor is worth more except in a walk-up townhouse. A high-rise may have set backs on certain floors with either higher or lower ceiling height. The floors with higher ceilings are worth more. Condition can affect value. 

I often go back to the original offering plan and use the same premium percent for attributes and amenities that the original developer allocated to each unit but adjust based on today's prices and the percent prices have risen since the first offering. 

For example. A condo built in 1990 at the time had a $1,000 premium for each higher floor. Today that may be around $15,000 or more per floor.

Knowledge of building and the different lines and layouts in the building is important. 

Jul 10, 2016 10:22 PM
Rainmaker
846,475
Marco Giancola
Beachfront Realty - Miami Beach, FL
Realtor (305)608-1922, Miami Beach Florida

The Law of Averages works for me. It's a CMA not an appraisal.

Jul 10, 2016 09:43 PM
Rainmaker
4,319,419
Praful Thakkar
LAER Realty Partners - Andover, MA
Andover, MA: Andover Luxury Homes For Sale

Patricia Kennedy - you are right, the bigger the unit, the lower $/sq ft.

I add/subtract about 30% of the $/sq ft amount for the difference in most cases.

So if the higher price is $300/sq ft, the difference of the sq ft is $90/sq ft.

Jul 10, 2016 04:16 PM
Rainmaker
1,723,026
Sandy Padula & Norm Padula, JD, GRI
HomeSmart Realty West & Florida Realty Investments - , CA
Presence, Persistence & Perseverance

As Mitchell J Hall mentioned. Valuations, particularly for condos can vary in the $/SF factor from many subjective influences, particularly location. Here in Sarasota, there are cewrtain stretches of beach that are demanding more $ and they can be within eye-shot of each other.

Jul 10, 2016 10:43 PM
Rainmaker
1,840,356
Lyn Sims
Schaumburg, IL
Real Estate Broker Retired

Boy, this ? is making my head hurt this morning. 

Jul 10, 2016 10:42 PM
Rainmaker
5,194,033
Wayne Martin
Wayne M Martin - Chicago, IL
Real Estate Broker - Retired

Knowledge of the building is key. Are the comps rehabbed and yours not or vice versa? same for the baths! Then probably still a SWAG (scientific wild ass guess) on the adjusment percentage, likely between 10 and 30% depending on the size of the unit.

Jul 10, 2016 09:18 PM
Rainmaker
4,555,011
Michael Jacobs
Pasadena, CA
Pasadena And Southern California 818.516.4393

Mitchell J Hall has a very thoughtful answer.  Upgrades(or lack thereof), location within the building, view/orientation and emotional appeal are some of the factors I use.

As many have answered -- it's more art than science.   

Jul 11, 2016 01:14 AM
Ambassador
5,033,427
Jeff Dowler, CRS
eXp Realty of California, Inc. - Carlsbad, CA
The Southern California Relocation Dude

We have buildings like you do in our area. But issues like end unit, view, and location in the complex add value to similar SF units. Mitchell J Hall certainly gives a thorough answer and he knows NYC

Jul 11, 2016 12:29 AM
Rainmaker
5,772,353
Ron and Alexandra Seigel
Napa Consultants - Carpinteria, CA
Luxury Real Estate Branding, Marketing & Strategy

Patricia,

What Mitchell J Hall said.  A

Jul 11, 2016 12:24 AM
Ambassador
2,679,649
Fred Griffin Florida Real Estate
Fred Griffin Real Estate - Tallahassee, FL
Licensed Florida Real Estate Broker

USPAP

Jul 11, 2016 10:33 AM
Rainmaker
4,903,546
Will Hamm
Hamm Homes - Aurora, CO
"Where There's a Will, There's a Way!"

I like what Mitchell Hall had to say.

Jul 11, 2016 10:25 AM
Rainmaker
908,918
Jeff Pearl
RE/MAX Distinctive / LIC in VA - Lovettsville, VA
Full Service Full Time Realtor

It varies. Not easy if there aren't enough comps. There are some condos where I needed to factor in quality of materials and upgrades, so even though they are same SF, their values are different. Parking, storage, balcony, and view are also a factor in some buildings. I've also had some that were bought at Pre Construction Prices which can also throw off the SF price.

Jul 11, 2016 05:39 AM
Rainmaker
1,498,708
Ryan Huggins - Thousand Oaks, CA
https://HugginsHomes.com - Thousand Oaks, CA
Residential Real Estate and Investment Properties

Sorry, I don't look at price per square foot.  It's not a valid factor in my market.

Jul 11, 2016 04:27 AM
Rainmaker
4,800,082
Gabe Sanders
Real Estate of Florida specializing in Martin County Residential Homes, Condos and Land Sales - Stuart, FL
Stuart Florida Real Estate

I defer to Mitchell Hall for his answer.

Jul 11, 2016 04:25 AM
Rainmaker
898,058
Olga Simoncelli
Veritas Prime, LLC dba Veritas Prime Real Estate - New Fairfield, CT
CONSULTANT, Real Estate Services & Risk Management

Maybe that particular stat is not the most important one for comps, given the variables you describe. 

Jul 11, 2016 02:35 AM
Rainmaker
5,583,173
Barbara Todaro
RE/MAX Executive Realty - Happily Retired - Franklin, MA
Previously Affiliated with The Todaro Team

I can understand using cost per s.f. when dealing with new contruction, and that varies with the cost of the land if that's included in the equation.... but to use that with a resale condo is not ideal!!  there's depreciation for age and upgrades.... 

Jul 11, 2016 01:32 AM
Rainmaker
987,352
Jennifer Mackay
Counts Real Estate Group, Inc. - Panama City, FL
Your Bay County Florida Realtor 850.774.6582

I price condos all the time  and use a simple comparison based on past sales, existing units on the market, floor level (big issue if it's on the gulf), waterfront etc.

IMO, there are too many varaibles on pricing condos to say "this is the formula I use" - but if you have one, I'd be interested to hear it.

In my area, bigger units sometimes increase the PPSF and some of our units have more than 1 kitchen and more than one floor

Sorry I wasn't more help

Jul 11, 2016 12:08 AM
Rainmaker
823,379
Susan Laxson CRS
Palm Properties - La Quinta, CA
Realtor in San Diego, CA & Naples, FL

Will read solutions, too much to contemplate this early.

Jul 10, 2016 11:59 PM
Rainmaker
1,466,207
Michael Setunsky
Woodbridge, VA
Your Commercial Real Estate Link to Northern VA

Patricia Kennedy I believe you can take the cost approach to appraisal. Once the cost is determined, you can adjust for location. Talk to an appraiser or some condo builders.

Jul 10, 2016 11:37 PM
Rainmaker
921,504
Annette Lawrence , Palm Harbor, FL 727-420-4041
ReMax Realtec Group - Palm Harbor, FL
Making FLORIDA Real Estate EZ

I apply a .009 inversion /400 sf difference.

Jul 10, 2016 11:24 PM
Rainer
150,416
Michael Thacker - Re/Max Real Estate Center - Louisville
Re/Max Real Estate Center - The Thacker Group - Louisville, KY
Your best friend who just happens to be a Realtor

On condos, even if the same exact SF, the price could vary greatly. One can have gold-plated walls, and the other have grass covered walls. Makes for a real difference in cost-per-SF. 

On condos, when doing comps you really have to drill down on the finishes, upgrades, etc. down to the last detail.

Sometimes a similar looking apple, may actually be a kumquat.

Jul 10, 2016 10:57 PM
Rainmaker
3,415,644
Scott Godzyk
Godzyk Real Estate Services - Manchester, NH
One of the Manchester NH's area Leading Agents

I would determine the price per SF in that condo complex and then also add for or deduct for kitchen, baths or bedroom counts or sizes. 

Jul 10, 2016 10:38 PM
Rainmaker
3,071,489
Tony and Suzanne Marriott, Associate Brokers
Serving the Greater Phoenix and Scottsdale Metropolitan Area - Scottsdale, AZ
Haven Express @ Keller Williams Arizona Realty

parked and reading...

Jul 10, 2016 10:32 PM
Rainmaker
7,794,784
Roy Kelley
Retired - Gaithersburg, MD

This will be a good blog topic when you figure out the answer.

Jul 10, 2016 08:48 PM