Question

Which of the following affect the market value of a house? Mark all that apply.

A. The number of people living in the house.
B. The condition of the house.
C. The square footage of the house.
D. Remodeling.
E. The neighborhood.

Answer 1

The answers are

B.
C.
D.
E.

Answer 2

Market value of a house is a rough estimate of what it would sell for in a competitive market based on its features and benefits. The market value is in sync with the overall real estate market and the prices of other similar houses sold for in the same condition.

So, the factors that affect the market value of a house are -

B. The condition of the house. This affects as if the condition of the house is bad, it will not sell for good money.

C. The square footage of the house. The main factor is the area in which the house is built as the prices are based on per square foot of land.

D. Remodeling. This also might be the factor, as if a person wants to demolish and rebuild a house from scratch, then also the price will fall while selling.

E. The neighborhood. This factor is also considered. Houses built in posh area and good neighborhood always yield high prices.