MLS News & Deals February 19, 2020
How Much is a Half Bathroom Worth (in Germantown)?
The real answer is "it depends". The neighborhood matters and even the style of the house is consequential. Let me set aside the rest of the disclaimers but remember this isn't specific advice to your situation. Now let's have some fun.
To make an example I used Germantown because there are a lot of similar style houses, enough transactions, and the build quality is homogeneous. The average house size between those with 1 bathroom and 1.5 bathroom only differed by 9 square feet too.
I used scatter charts and polynomial trend lines to measure the difference between the 1 bath houses (n=415) and 1.5 bathroom houses (n=48). I removed foreclosures and properties with a lot of deferred maintenance too.
I ended up with a clear indication that adding a half bathroom in Germantown usually adds about $16,000 in value to a property. Don't worry about 2020. That data should normalize as the year continues.
Happy investing everyone,
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