Valuing flats and apartments
A net worth statement is only as honest as its valuations, and a flat is one of the places households most often get it wrong — usually by carrying the purchase price forward for years. Recent registered sales in the same building or complex, adjusted for floor, facing and age. Broker quotes are asking prices, not transaction prices.
- Liquidity grade
- Low
- Time to sell
- Two to six months for a realistic sale
- Revalue every
- Year
how fast it becomes cash
realistically
or when something material changes
The number to write down
Recent registered sales in the same building or complex, adjusted for floor, facing and age. Broker quotes are asking prices, not transaction prices.
What people get wrong
If you live in it, it is shelter rather than an investment — it will not fund your retirement unless you are willing to sell it or rent it out. Maintenance, society dues and property tax continue whether or not the value rises.
Keep the history, not just the latest figure
A single current value tells you where you stand. A series of valuations tells you whether the asset is doing anything for you. Record the value each time you check it, with the date, and the trend answers questions a snapshot cannot — like whether this holding has actually beaten inflation since you bought it.
Where FamTally comes in
FamTally stores flats and apartments with a purchase value, a valuation history and a liquidity grade, so your net worth reflects today rather than the day you bought. Add a new valuation whenever you get a fresh figure and the trend builds itself. Free to use.
Stop doing this in a spreadsheet
FamTally keeps your loans, income, expenses, assets, insurance and goals in one place, forecasts five years ahead, and answers questions about your own numbers. Free, and built for Indian families.
Start freeQuestions people ask
How do I value a flat?
Recent registered sales in the same building or complex, adjusted for floor, facing and age. Broker quotes are asking prices, not transaction prices.
How often should I update the value?
Once a year is enough for an illiquid asset, or whenever something material changes — a nearby sale, a renovation, a policy change.
Should I use the purchase price instead?
No. The purchase price answers a question about the past. A net worth statement is about what you could realise today.