Okay,
What do you do if you have a potential deal but can’t find recent comps? I tried paying for a service through www.electronicappraiser.com and other paid sites but they can’t find comparables.
What do I do in this case? Is this a warning flag?
Any thoughts or suggestions?
Thanks
I forgot to inform you this property is located in a non-disclosure state (Texas).
thanks
Hi,
I can use an average of values by getting prices from zillow, aol home values, etc. which when used to get a theoreticle idea of value to use for determining spreads between asking price and FMV or ARV, I can even make a blind or physically assessed offer to buy the property from known factors and the MLS / advertisers description of the condition and requirements of the property.
What I can not do is except a purchase, remove contingencies or make actual damage estimates without seeing the property and getting actual comps from one of the realtors / brokers on my team. Every property I have ever bought I had an actual set of comps supplied to me where I could actually see comparable property addresses, when sold, size and ammenities, and age of last sales.
Any way you cut it you need to have a realtor (Real Estate Agent) or Broker who you can actually get real comps from before you actually start removing contingencies or move to except terms and conditions and close on a property.
I have multiple real estate agents and brokers, I have agents that specialize in one area and others who specialize in another area. I have brokers I use for larger properties and commercial transactions.
I can write a contract and get it presented completely blind, however my contract says I have a loan contingency, I have a home inspection contingency and I have a termite / pest control inspection and sometimes I may request a survey or structural inspection and have those contingencies.
I have to verify my comps, less than 1/4 miles and less than 3 months old are best, sometimes the appraiser will go out to 1/2 mile, 3/4 mile, 1 mile or 2, 3, 4, or 5 miles to find comparable comps and sometimes will go back to 6 months old but that is at an appraisers discretion. I just sold a home that we completely rehabbed and the appraiser went out about 2.5 miles to find other rehabbed homes to compare to.
A real estate agent has the comps, you have to build your team to include good agents, and I don’t neccessarily use the agent to buy or to sell, in some cases I might give an agent a free commission on the buying side with seller paying commissions and with me back to back closing with no agent to my end buyer.
And in other properties I might buy say at auction I give my agent the listing to re-sell it, and sometimes I do a couple of transactions with no agent involvement but will get comps from them as part of my team.
Good luck,
GR
I lived in TX for almost 10 yrs, u can’t get comps w/o having access to the MLS. You need to get on the good side of a Realtor, broker or appraiser that has access to the MLS. best thing to do is to make a few calls, tell them that you are a real estate investor and you’d be willing to use them for some of your deals if they can help you with comps. this is the most accurate way of doing it.
I am not aware of any pay svc that gives comps in TX if you are a ‘civilian’ lol unless that has chngd, i have not worked in TX for about 4 yrs now.
Drive around the area that your house is in. Take note of the homes for sale. Take down some numbers and call these homes asking the Realtor or owner how much are they asking for the home. If the home is similar to yours you may have a good comp on your hands.
Delondon,
The asking price is not a comp. The asking price is only a starting point for negotiations which almost always result in a lower sale price.
The actual sale price of a similar property in the same neighborhood is a comp.
huh?