วันอังคารที่ 5 มิถุนายน พ.ศ. 2561

How Much Is an Ocean View Worth?

The answer to this question is what a willing buyer will pay and a willing seller will agree to sell for but obviously that is not the answer you are looking for.

What we really want to be able is to determine is the quantitative values of different views so that we can get a much more accurate method to determine a view's non qualitative aspects. In the end though this is a subjective analysis looking for a quantitative solution.

One way of coming up with an answer to this tormenting question is to go back to the old adage of comparing apples and oranges. It seems what needs to be done is to remove as many variables as possible thus being left with only view to compare, comparing oranges with oranges as best we can. The best illustration or approach I arrived at would be to compare like high rise condominium apartment style building or buildings on the beach that have identical units and similar views. Even with this approach we are still stuck with the problem of effect of direction of views and uniqueness of the views for example, whether they are facing the ocean or city, panoramic or obstructed.

Here are the results of analyzing ocean front buildings in my local area which borders on the beach based on price per square foot values.

Results of comparison

First Floor location - Ocean view on the beach (walk out to the beach basically with no or only a few steps)add 5 -7 % for the view over a non ocean view, for example a street facing view.

Second Floor location - Overlooks the ocean, partially obstructed by other buildings

add 7-10%

Third floor location - Partially obstructed over the roof tops or with some peak a boo views,

add 10-15%

Fourth Floor - Mainly unobstructed view

add 15-20%

Fifth Floor - Totally unobstructed

add 20-25%

Top Floor or Penthouse

add 25 -35%

Totally unobstructed with coastline view

add 35 - 40 %

Totally unobstructed with additional city view (2 views)

add 40% -50%

Other factors

There are other factors to be considered such as are balconies and how well the view be seen from the inside of the unit.

Do other rooms have views, do you have to actually have to ฝากขายที่ดิน walk to the window to see the views?

Who is doing the assessing of the value, an appraiser from the area. Who is the appraisal for? If for a bank how important is the loan to value.

If this is a cash sale the buyer may be the only one at risk. How important is the value worth to the buyer?


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