How to run comps

Im not an appraiser obviously, and, Im not a broker or licensed agent … but here is the way that I run comps on a property.

Here are the criteria:

-Sold within the last 6 months, but preferably within the last 3 months.
-Within 300 + or – square feet of subject property
-Age built range: If my subject is older (which typically 99% of time it is) I eliminate any newer builds in the area . For example, pre 1999 or something like that..
-Within same neighborhood (I like Zillow because I can quickly draw a custom area using major roads as boundaries) This comes with practice in knowing your areas
-Similar property types : I don’t filter for this yet, but take it into consideration when viewing comparables. For example, if my subject property doesn’t have a garage I don’t want to use garage houses, or, bring them down in value if I use them. Sometimes I find much nicer homes in neighborhoods that pull as a comp, and I take that into consideration when all others aren’t that nice.. (etc… you get the point here)

If I want something quick, I use Zillow.

I type in the address, and search for it.
I use the filter options and choose ‘sold’ , add my square feet range, my year builts, and choose SFR’s.
Then I custom draw my area to help eliminate properties that aren’t like mine, or, are in totally different neighborhoods.
Then when I see the comps, I eliminate the highest comp and the lowest. I am looking for comps that are remodeled or are in pretty good shape, because the numbers are based on the ‘after repaired value’ after the subject property is fixed up.
I also take into consideration bed and bath counts.

I hope this helps . How do you run comps?

Happy Investing
-Justin

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