Ok. you got a call and asked all the questions about the house. When do you get your comps. When you hang up the phone/before you look at the house, or do you wait untill you went to look at the house?
Another good reason to actually KNOW your market instead of depending on comps. If you don’t know your area, how do you know whether to spend you time to go look at the property.
Instead of depending on comps, I suggest going to look at 100 houses (or more), inside and out, in your area until you know the value of a property by looking at it.
I think it also depends on what you’re doing. I typically like to see comps before I ever go to see the house.
We rehab and flip houses. The comps tell us what the market in that one spot is doing. It tells us how many houses are on the market in neighborhood, what is pending and what has sold and when it sold, along with the prices. So, if I get a comp that shows that 5 houses on the same block are for sale, it’s probably not a house that is going to do well on the market and therefore, we’d pass. In this case seeing the comps has saved me time.
That said, we also know the neighborhoods we like to do business in. We would do drive throughs and pop in at open houses to get a feel of what each area was like.
After you determine if the property has “potential”
This is normally after I talk to the seller and find
out what his situation is…
I know my area fairly well but I always get comps as a backup before I waste my time driving to see the house. If it is not a potential deal…why spins my wheels.