Condition Guide

What buyers really see when they walk through the door.

Property appraisers and AI valuation tools rate homes on a C1–C6 condition scale. Realtors use this framework to justify pricing, set seller expectations, and build credibility with data.

Based on the Fannie Mae condition rating system, the industry standard in North American real estate appraisal.

C1

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C1New / Recently Built

Brand new or newly constructed — everything is factory-fresh.

The property has been recently built or substantially renovated to like-new condition. All systems, finishes, and materials are new with no visible wear. There are no repairs needed.

What Buyers Expect

Buyers expect everything to work perfectly and to have no maintenance costs in the near term. They're paying for peace of mind.

Common Signs

  • New construction or gut renovation
  • Builder-grade or higher finishes throughout
  • All mechanical systems new (HVAC, plumbing, electrical)
  • New roof, windows, and insulation
  • No deferred maintenance whatsoever

Value Impact

Homes in C1 condition typically command the highest market pricing and attract the most competitive offers.

General industry benchmarks only. Not financial advice.

C2

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C2Recently Updated

Updated within the last 5–10 years — feels modern and cared for.

The property shows significant updates and improvements. Kitchens and bathrooms have been renovated, major systems have been replaced, and the home presents well with modern finishes. Some minor cosmetic wear may be present.

What Buyers Expect

Buyers expect to move in with minimal work. They understand some eventual maintenance is natural but aren't expecting anything in the near future.

Common Signs

  • Kitchen renovation within last 10 years
  • Updated bathrooms (fixtures, tile, vanities)
  • Replaced mechanical systems (furnace, roof, windows)
  • Modern flooring (hardwood, LVP, or updated tile)
  • Fresh paint, updated lighting

Value Impact

C1–C2 homes typically command premium pricing and sell faster than the market average.

General industry benchmarks only. Not financial advice.

C3

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C3Well Maintained

Original or dated, but well cared for — nothing is broken.

The property may have older finishes but has been consistently maintained. There's no deferred maintenance. Everything works as intended. Buyers see a move-in-ready home that may benefit from cosmetic updates.

What Buyers Expect

Buyers expect functional systems and a clean home. Cosmetic updates (paint, flooring) are anticipated but not urgent. They're comfortable with original finishes that are in good repair.

Common Signs

  • Consistent upkeep and maintenance history
  • Functional kitchen and bathrooms (may be dated)
  • Mechanical systems in working order (may be aging)
  • Clean and presentable throughout
  • No significant repairs needed

Value Impact

C3 homes represent the market average. Pricing aligns with comparable sales without a premium or discount.

General industry benchmarks only. Not financial advice.

C4

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C4Adequately Maintained

Functional but showing its age — buyers will notice.

The property shows normal wear and aging. Minor deferred maintenance is present but not significant. Finishes are dated and some systems may be nearing end of life. Buyers will likely price in cosmetic updates.

What Buyers Expect

Buyers expect to do some work — paint, flooring updates, or appliance replacements — within the first few years. They'll factor this into their offer price.

Common Signs

  • Dated but functional kitchen and bathrooms
  • Older mechanical systems (still working, but aging)
  • Some cosmetic wear — scuffed paint, worn flooring
  • Minor deferred maintenance (caulking, touch-ups)
  • May need appliance or fixture updates

Value Impact

C4 homes typically sell at or slightly below market average. Cosmetic updates can meaningfully improve positioning.

General industry benchmarks only. Not financial advice.

C5

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C5Deferred Maintenance

Visible wear and neglect — buyers factor in repair costs.

The property has noticeable deferred maintenance. Repairs have been postponed and it shows. Mechanical systems may need imminent replacement, cosmetic issues are obvious, and buyers will need to invest in updates to make the home livable to their standards.

What Buyers Expect

Buyers expect significant work and will calculate repair/update costs into their offer. Move-in-ready buyers will likely pass. Renovation-minded buyers will look for a discount.

Common Signs

  • Outdated or damaged kitchen and bathrooms
  • Failing or failed mechanical systems
  • Peeling paint, water stains, damaged flooring
  • Roof, windows, or insulation in need of replacement
  • Deferred repairs that have compounded

Value Impact

C5 homes typically sell below market average. Addressing key deferred maintenance before listing can significantly improve estimated value.

General industry benchmarks only. Not financial advice.

C6

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C6Poor Condition

Requires significant work — primarily attracts investors.

The property has substantial deficiencies that make it unsuitable for conventional financing or occupancy without major renovation. Structural, mechanical, or systemic failures are present. The home is sold as-is and attracts investors and contractors.

What Buyers Expect

Buyers at this level are investors or contractors who price in substantial renovation costs. They expect to budget $50,000–$150,000+ in work before the home can be resold or occupied.

Common Signs

  • Structural damage or foundation concerns
  • Failed mechanical systems (no heat, plumbing issues)
  • Significant water damage, mould, or environmental hazards
  • Uninhabitable or near-uninhabitable condition
  • Sold as-is — may not qualify for conventional mortgage

Value Impact

C6 homes sell at a significant discount relative to market value and primarily appeal to investors seeking renovation projects.

General industry benchmarks only. Not financial advice.

AI Photo Assessment

Generate a report that shows exactly where the property stands.

Upload listing photos and let Hausprice AI grade condition room by room — so you can walk into every presentation with the data to back your price.

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AI-generated estimate only. Not a certified appraisal.