Sun, 14 Nov 2010 20:05:40 GMT, Red Green
wrote:

For your Sunday reading...


http://finance.yahoo.com/real-estate...te-homeimprove


I don't understand how they come up with these numbers. They are,
I suspect, guesses and based more on anecdotal evidence than anything
else.

Let me use my own house as an example. We just renovated our
kitchen, family room and three bathrooms. Cost was 50 thousand.
I'm a builder .. retail would have been something like 70 thousand.

Howwould they figure how much value we added. The value of a house
is what it sells for -- willing seller, willing buyer and all that --
not what a bank or an appraiser or an assessor or some self appointed
Yahoo! writer might think it is worth.

Therefore I cannot say what the house would have sold for prior to the
renos, and I cannot say what the house will sell for after the renos
because it is not for sale.

Since money has a time value, how do they assign a value to how
quickly a house would sell -- since it wasn't for sale before and
isn't for sale after?

To me, this is just morecrap based on half assed research intended
to sell magazines ... a friend used to own a bunch of newspapers; he
always said content was important only to keep the ads separated.
Same as HGTV's so-called content. And same as this nonsense.


Ken in Calgary