If an apartment was built in the 1980's, how much cheaper would it be than say a brand new apartment of a similar quality and same size?

Question

Lets also assume that the brand new apartment was also in the same location.

On average, what would be the value percentage difference between a brand new apartment under these parameters and a similar quality apartment built in the 1980's?

Also under the same parameter, what would be the value percentage difference on average between say an apartment built in 2014 and a similar apartment built in the 1980's?

I want to get an idea as to how much the age of a 1980's property, will take away from its current value, by comparing it with it's more modern equivalents.

Answer 1

There is no requirement that is has to be cheaper. Age has nothing to do with $$ in real estate.

If the older one has been renovated & is just as nice as the new one then the age of the building is irrelevant.

Answer 2

Real Estate does not work that way and is not assessed or valued or devalued according to age.

For instance, a house built in 1960 is a far better built home than one built in 1985. In 1985 there was a building boom and houses were cranked out like baked goods. There was crappy workmanship all around back then.

I recently sold a house and the realtor comps had nothing to do with age, but features, square footage and location. Age was irrelevant. It is the upkeep that counts.

Right now, in my town, there are new townhomes that were just built. Their prices are equal to those same type of townhomes elsewhere in town.

Answer 3

Housing is not based on age.

If it's the same quality and the same size = it's the same cost.

Answer 4

Apartment prices are not determined by age. 1930's brownstone apartments in Manhattan are 4 times the price of newer apartments on the same block.

Answer 5

I would say there would be very little market value between the 2 since you said they are in the same location, similar quality and size.

Answer 6

What took $10,000 to build in 1980 might take $200,000 to build today. Twenty times as much. But different for rental value: the 1980 rented for $1000 a month back then. The new apartment built today rents for 3,000 today.

Answer 7

Probably not much different if any.

Answer 8

It would be not really cheaper at all. The condition it is in NOW matters, not when it was made. If they are of comparable quality and size, they will be priced similarly, and when they were built will have little to no effect.