Valuation check: 135 m² apartment in Lima, asking PEN 3,150,000?

alex_lending

Real estate agent
PEN 3,150,000 is difficult to assess from the headline price alone. The apartment is a 3-bed in Lima, about 135 m² and in average condition, with good light and location offset by dated finishes and possible financing costs.

At roughly PEN 23,333 per m², it appears broadly testable against three advertised properties, but I have only one known completed transaction. I’m reluctant to apply a single percentage for both condition and size without confirming that the areas were measured consistently. Parking, storage, exact micro-location, service charges and any applicable lease length could each change the comparison materially. Which of those would you establish first, and would you treat the completed sale as the anchor only if those details match? I’ll have the figure checked through a local appraisal before making a decision.
 
I would anchor everything to the completed sale, provided it is genuinely comparable. First compare price per square metre, then make a separate condition adjustment based on the likely cost of bringing the dated apartment up to the sold unit’s standard. I would not apply an arbitrary condition percentage.

The most important missing fact is the precise micro-location, ideally including whether the sale was in the same building or an equivalent one.
 
Does the apartment include parking, storage or private outdoor space? At this price, those differences could make a simple floor-area comparison misleading. I would also want the service charges and the tenure details, including any lease length if one applies. Two 135 m² apartments can carry quite different ongoing obligations.
 
Agreed on parking, but I would be careful not to adjust twice for floor area. If the comparable has already been converted to a per-m² figure, a second broad size discount or premium needs evidence from similar Lima sales. Use the three listings only to frame the seller’s competition; asking prices do not establish what buyers actually paid.
 
I would keep financing costs outside the property valuation itself. They affect what the purchase costs you and possibly how firmly you can negotiate, but they do not necessarily make the apartment worth less to another buyer with different funding.

For condition, obtain a renovation estimate and run low, base and high scenarios rather than selecting one percentage.
 
One completed sale may still be a weak anchor if it differs by building, floor, light, outlook, parking or outdoor space. In this case light is being presented as a major advantage, so the orientation and whether that light can reasonably be preserved matter.

I’d make a small table for all four comparables: location, building, sale or asking status, date, internal area, condition, parking, outdoor area, service charges and price per m². Blank cells will show exactly where more enquiries are needed.
 
This is helpful. My notes do not yet establish the parking allocation, outdoor space, service charges or whether the completed sale is close enough at building level. I’ll avoid forcing a percentage adjustment until those points are verified. I’ll also separate financing affordability from the valuation and get renovation estimates for a condition range.
 
That sounds sensible. I would ask for the completed comparable’s transaction date and whether its recorded area was measured on the same basis as the 135 m² figure. Internal area, total area and area including parking or common elements are not interchangeable. A formal appraiser should also be given the full comparable set, not just the seller’s preferred examples.
 
Once those facts are collected, calculate three values rather than one: a conservative case anchored to the completed sale, a middle case using the best-supported adjustments, and an upper case reflecting the apartment’s light and location. If PEN 3,150,000 only works in the upper case, that gives you a clear basis for either negotiating or walking away.
 
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