How much is this home worth?

Hi Everyone,

I am trying to determine the fair market value of this home:

http://www.redfin.com/CA/Irvine/1-Primavera-92614/home/4659917

Although a desirable property, this listing has been on the market for 80 days already, with a current price of $754,500 ($395/sqft). It doesn't help that the house next door, a bigger and more upgraded property, recently sold for only $750,000 ($350/sqft) back on 3/31:

http://www.redfin.com/CA/Irvine/3-Primavera-92614/home/4659900

Nearby similar sales the past 6 months have also averaged only $366/sqft.

The owner seemingly thinks that the big backyard (one of the largest in Westpark) carries a premium, thus justifying the premium price. Does the extra large backyard here justify the additional cost per square foot?

Any feedback from the knowledgeable community here would be greatly appreciated. Thanks!

- Randy

For a home that doesn't have much upgrades, AND backs to the corner of Main & Harvard, both extremely busy streets, I don't think that $395/sqft can be justified.  Even with the large backyard, you will still have to deal with street noise.  Plus, on top of purchase price, most people will need to put in upgrades.

It's also only a 3br.

You can get a brand spanking new 3/2.5 in Woodbury for that price. It may not have the same lot size but it will have a bigger interior and have that new home smell.

Considering the comps, it looks like it should be priced around $725k.

I think I read on the old forum that a home is worth the price that the owner is willing to sell and the price the buyer is willing to pay.