There is no tried and true formula for camps and other special purpose properties. In general, the listing price is generally what the owner hopes to sell it for, not necessarily what the realtor expects it to sell it for. For the most part, realtors do not know what the business revenue or income is, so price is not based on those, instead more focused on appraisal and comp sales, if available. Or, in the case of some realtors, a wild guess. I tend to focus on comp sales and adjust based on things such as location, infrastructure, square footage, acreage, and condition of facilities to determine realistic prices that sellers can hope to obtain.
As many camps for sale are non-operational, or have very limited operations, and thus very limited revenue, you can't really use the 6 times revenue formula. In these cases, sale price is generally based more on assets rather than revenue.
Last edited by CampRealty; 11/06/18 04:07 PM.
