<p>Well, I had a realtor email me the projected sale price of my home, so I do have documentation. Do I then take out her commision and closing costs and the price of a new roof which is absolutely necessary and put that as the home value price?
I have lots of documentation of comparable sales from my realtor, which I can provide if anyone questions this figure. Is that all I'd need?</p>
<p>The realtor might have projected a higher sales price than realistic in order to get your business. You might also check zillow.com, although that's not always accurate either. If the comparable sales are recent and support your realtor's price, then it's probably as good as estimation as any without taking the step of getting an appraisal.</p>
<p>Yes, subtract closing costs, commission, and fix-up costs to get the final sale price. You also need to subtract out the amount of your mortgage to get the net equity you have in your home, which is what CSS is asking for.</p>
<p>I think the realtor's valuation is likely to be high as well.
I just refinanced and the appraisal was 5% more than zillow.com showed. In the same week my next door neighbor sold his house for 7% less than zillow showed.</p>
<p>The home value to be used is if you "had to sell your home that day, what value could you get for it". Think about it. To get a higher, more expected value, you'd list it and expect it to take 5-8 months to sell, which would be far more than if you had to "sell it today". That's why zillow should not be used. The values on zillow for my neighborhood are still 25% high.</p>
<p>"Yes, subtract closing costs, commission, and fix-up costs to get the final sale price. You also need to subtract out the amount of your mortgage to get the net equity you have in your home, which is what CSS is asking for."</p>
<p>Actually the question does not say "net equity", it says "home value." One or two questions later it asks for mortgage amount, that is how the equity is determined.</p>
<p>Thank you for your help. In our area, the real estate is very low, she compared this market to the 2003 market. She gave me a number which I was surprised by as it was reasonable, then subtracting her 7 percent, fees, and money for a new roof which we desperately need, but can't afford. I am concerned that it seems too low.</p>
<p>Do you suggest explaining in the explanations section of the CSS how I came up with the figure, just to let the CFO's at the schools know? It is nowhere near Zillow or the federal housing calculator that they might use. Perhaps if I let them know, it will negate further verification. Opinions?</p>
<p>Ask the Realtor to give you the CMA report. It's a list of homes they used in your neighborhood that sold recently and do the valuation yourself.</p>
<p>Do this, any home sold more than 6 months ago, throw out if you can.</p>
<p>Look for homes with similar sq ft and same bedrooms, if it's 4 and you have a 3 bd it's a nominal difference, but 2 bed rooms if you have 3 is a big difference.</p>
<p>Take the median value of the qualified homes, then drop it 1-3% depending on whatever market your in. A lower home value will be better for FinAid so I would take as much off as reasonably possible. If your roof has to be taken off remove that cost as well.</p>
<p>We have a negative home equity. Our area was really hit hard by the economic downturn. Homes in my area were sold in the millions just a few years ago but now are only worth 400k. We bought our home for 375k but now owe 425k. Lol my dad does everything so idk how it increased. Do they ask for verifitcation on the profile?</p>