[quote=SD Transplant] . . . I don’t have the value/multiplier that will make one potential buyer pay an additional mark up just based on schools API scoring, but I know it is valid/reasonable since we ended up purchasing because of the school district strenght (perception at least).[/quote]
This is a valid point for SOME buyers. But what is the actual percentage of buyers where school district is the be-all and end-all in their purchase decision? And just because active Piggs might be overwhelmingly of a certain demographic and general locale, what about the many adults that settle with their familes within five minutes of the home they grew up in, in which their parent(s) often still reside? Their kids attend the same schools they did – there is no “overthinking” about “scores” and such. This parent demographic is also very alive and well in SD County. Then you have to factor in all the buyers where school district or “API scores” are meaningless, and there are many.
Don’t know the percentages of these groups but would surmise they vary, depending on area of the county and age of community.
Not overthinking it too much, I would say that if the properties the buyer is interested in have 2002 asking prices (with little to no improvements made since 2002), then it is probably priced right. If a property has had substantial improvements made to it between 2002 and the present, then possibly a 2002 price, plus the labor/material value of the improvements would be a fair price, assuming the buyer wanted and would use all of the improvements made.
As you know, Rich, it is impossible to put a set appreciation rate on the entire county as each micro-market has its own rate of appreciation or depreciation, depending on the level of distressed current (and sometimes shadow) inventory that lie within it.
