Real estate comparables reveal the true market value of a property.
Knowing the value of a property places you in a position of power
and you'll never overpay. You'll make aggressive offers and negotiate like a pro.
Who should use these comps? Beginning, Intermediate, & Experienced investors.
Below are 5 sites that give different insights about the property.
And when all the information is combined you'll have enough data to make
an informed investment decision.
Get the complete picture about the property before you buy.
Use multiple sources that track current sales.
Determine property value without leaving your desk. With access to online comps, investing outside your area is possible. Compare similar properties and see the sales history. Use Google earth to check out the neighborhood and exterior of the property.
Find Comps Now. Not only do you get to see the comps
for the property that you're interested in buying. You see cash buyers, private note and regular retail sales for the area. The system has push button direct mail features and is perfect for buy and sell dual lead
generation. Plus, there's an estimated value chart
that calculates both high and low offers for you. And since it's an
online system, you can access it all the time. And best of all it's FREE.
MLS (Multiple Listing service) We love comps from the MLS but you need to go through a Realtor for each area and sometimes that's inconvenient. It's best to form relationships with a few Realtors. When they know that you're a serious investor they'll give you access to the MLS so you can run comps without eating up their time.
The drawback is, the MLS comps are not made up of all sales in the county, they're only made up of the properties that have been sold through a Realtor. The MLS system is updated when the listing agent changes the property status to sold and enters the price. The agent usually has 30 days to update the status.
Realtor.com You'll find a basic overview of the property and a list of schools and neighborhood descriptions. It provides both high and low estimated values of the property. Realtor.com generates it's information from the MLS but it contains limited information and is updated slowly. It's an easy alternative if you can't access full real estate comparables directly from the MLS.
Netronline.com Access every property and tax appraiser's office across the US. See assessed values, comparable sales and property taxes. The county also provides updated info, the description, square footage, and amenities of the property. Generally, sales appear in county records 15 days after the closing. Also included are sales that have been quit claimed and sales for nominal amounts. Finally a government agency is helpful by providing accurate info.
Zillow.com Is NOT good for estimating the value of properties but great for pictures. There's usually interior photos and a detailed description of the property. You can also view the other houses (interiors too) on the street and condition of the neighborhood.
With these 5 sources for real estate comparables, you'll never overpay because you'll know the complete value of the property long before you buy it.