Hi you guys..I have a question.Who are the people who decide how much a house will cost?Are that the contractors, the government or the millionaires who buy everything and sell for profit?
Please explain in details..
Say i want to buy 10 new appertments, who do i have to contact and of course make profit with selling the appartments.
No middlemen, but direct business..
thank you
2007-12-13 23:29:56 · 5 answers · asked by mit_drissia 1 in Business & Finance ➔ Renting & Real Estate
How much a house will cost depends on its design. A large house built with expensive materials will cost more than a small house with few amenities. The government has nothing to do with it. The contractor keeps track of the cost of building the house and ads a margin for profit in setting the price. If the price is too high, the house will not sell because there are other competing houses on the market.
If you want to buy 10 new apartments, you contact the seller. You can do this through a realtor who can find sellers for you but the realtor is a middle man. But if you think you can buy apartments for one price and sell them right away for a higher price, you don't understand the real estate market. You may be able to buy apartments for a low price that need improvements and upgrading, and sell them for a high price after you make the necessary investment to make the improvements. If you know what you are doing, you may be able to make a profit. If you don't understand the business, you may not be able to recoup your investment.
2007-12-13 23:39:14 · answer #1 · answered by Anonymous · 0⤊ 0⤋
when it goes up for sale, contact the person selling it. Sometimes it is the owner, or the owner may be represented by a real estate agent, or other. Just call the phone number provided. If you like the price, or can negotiate it down, you need to have an appraisal. Either your mortgage lender can provide the appraiser or you can hire an appraiser yourself, or both can be done. Your mortgage lender will go with their appraiser. If you do not need to loan any money, you can have an appriasal done on your own. You go through the purchase steps and buy the property. Then you go through the steps in selling it.
2007-12-14 07:38:18 · answer #2 · answered by 27ysq 4 · 0⤊ 0⤋
The person buying it will decide. As a seller/contractor all you can do is build up the value. If you are successfully at this you find a buyer that will buy it close to, maybe at or even more than what you are hoping for.
If you are trying to determine the cost to build you get bids from various contractors/builders and go from there.
2007-12-14 08:50:48 · answer #3 · answered by Ross 6 · 0⤊ 0⤋
the market.
It really is that simple. Price is determined by what someone will pay.
Cost is figured starting with what someone will pay and then you work from there. Some costs are fixed however. Which means that other costs, like land then are adjusted.
Government costs in some areas play a huge factor.
2007-12-14 08:34:21 · answer #4 · answered by Anonymous · 1⤊ 0⤋
The asking price of the house is determined by the amount comparable houses in the area are sold for.
2007-12-14 07:41:29 · answer #5 · answered by denise m 2 · 0⤊ 0⤋