ValuNation

Charlie Johnson unpacks why “price per square foot” can point you in the wrong direction—and how to use it the right way.

– PPSF = sale price ÷ living area; quick, but not value by itself

– Not all square feet are equal: updates, layout, construction quality, location, lot size, pools/garages all shift value 📏

– Some spaces aren’t counted in GLA (e.g., many finished basements are below grade)

– Appraisers use PPSF as a secondary check after market-supported adjustments for condition, amenities, and appeal

📌 Appraisers: Treat PPSF as a cross-check; lean on paired sales and local standards (especially for below-grade/bonus areas).

📌 Buyers/Sellers: Look past the number—verify what’s included in square footage and compare true like-for-like comps.

Price per square foot is a helpful marker—not the finish line. Context wins.

Did you know that poor layouts and outdated features can quietly drag down property value?

This episode of ValuNation: The ValuVault explores functional obsolescence — what it is, how it manifests in homes, and what buyers and mortgage professionals should look out for.

Watch now and elevate your valuation expertise.

Charlie Johnson breaks down how mortgage pros and buyers use the income approach to value commercial properties.

– Formula: Net Operating Income ÷ Cap Rate

– Example: $2M retail strip earning $150K with a 7.5% cap rate– 2025: Industrial cap rates = stable 6–8%, office = higher, more risk

📌 Mortgage pros: Verify income data—leases, expenses, and realistic rents.

📌 Buyers: Compare cap rates to local market averages to catch inflated prices.

Working with the right AMC or lender makes all the difference. Visit nationwideamc.com to learn more!

Charlie Johnson explains why where your property sits often matters more than what’s inside it.

– Tight 2025 inventory = premium for prime areas

– Same home, different neighborhood = huge value swing– Proximity to jobs, schools, transit can boost value by 10% or more

📌 Buyers: Check school ratings and commute stats before you bid.

📌 Mortgage pros: Keep comps hyper-local—within a quarter mile for urban spots.

Location is the one thing you can’t renovate. Do the homework upfront.

New from the ValuVault!🌟

Charlie Johnson explains why relying on your property tax assessment can cost you—big time.

– Tax assessments are for local revenue, not true appraisals

– Outdated data and old formulas can lag real value by 10–20%

– They ignore upgrades that a real appraiser will include

📌 Buyers: Use comps or hire an appraiser for real market value before you bid.

📌 Mortgage pros: Remind clients to anchor loan amounts to comps, not tax records.

A quick BPO is an easy, affordable step to get it right.

Charlie Johnson shares exactly how to pull the right comparable sales—so you don’t overpay (or under-appraise).

– Keep it close: Within half a mile for urban, up to a mile for rural

– Keep it current: Last 6 months only—older comps can undervalue

– Match features: Square footage, beds/baths, lot size, condition

📌 Buyers: Always review the appraisal report to see which comps were used.

📌 Mortgage pros: Double-check with MLS to validate accuracy.

Run your numbers right—your deal depends on it.

Cap rate = one of the most important metrics in CRE—and Charlie Johnson is breaking it down.

– Formula: Net Operating Income ÷ Purchase Price

– Current average: 6–8% for industrial, nearing 10% for lodging

– What it tells you: Lower cap rate = higher valuation, less risk Higher cap rate = lower value, higher risk

📌 Mortgage pros: Compare to market averages and verify income.

📌 Buyers: Confirm NOI and target stable returns.

Need a BPO or AVM for a commercial property? Head to nationwideamc.com for more info.

New construction is heating up in 2025 🔥—but appraising these homes isn’t easy.

Charlie Johnson explains why:

– Limited comps

– Upgrades that don’t always match appraisal value

– Slower price growth

🏡 Buyers: Ask for builder comps before making an offer.

📋 Mortgage pros: Confirm the appraisal includes recent community sales and upgrades.

Learn more about our new construction team at nationwideamc.com.

New Segment Drop: ValuNation’s Market Update is here!

This week, Charlie Johnson breaks down what’s driving property values right now—and why mortgage pros and buyers need to stay sharp.

🏠 Mortgage rates are steady but still high (6.923%), keeping affordability tough and slowing home price growth.

📉 Valuations are cooling in places like Seattle and Austin.

🏗️ Buyers: Look to new builds for rate buy-downs and credits.

📋 Mortgage pros: Use 2025 comps only—today’s market is shifting fast.

🎯 Whether you're appraising or house hunting, staying informed is key.

📍 Watch now and subscribe to ValuNation to stay ahead of market trends.

Welcome to ValuNation’s Valuation Tip of the Day!

In this episode, Charlie Johnson tackles a common misconception in real estate: the reliability of Zillow’s Zestimate. 🏡💸

Today’s tip: ⚠️ Don’t over-rely on automated valuations like Zestimates. They’re a popular starting point, but they’re not true appraisals. These AVMs (automated valuation models) pull from public data—but they often miss crucial market details like home condition, neighborhood demand, and recent sales trends. In volatile markets, Zestimates can be off by 5–10%, according to Zillow itself. 🔍 Example: A home in Atlanta valued at $400K might show a Zestimate of $420K, completely missing a local price dip.

Takeaways:

✅ Buyers: Use Zestimates as a rough guide—then check comps or get a professional opinion.

✅ Mortgage professionals: Educate your clients. Lenders require accurate appraisals or BPOs (Broker Price Opinions), not algorithmic guesses.

🎧 Subscribe to the ValuNation podcast for more quick, expert-backed insights into U.S. property valuation.

📍 Learn more about BPOs and other valuation solutions at: https://www.nationwideamc.com