Foreclosure Comps, MLS Comps, General Comps!? HELP PLEASE!!!

Can anyone answer this for me DG Family!?

http://www.deangraziosi.com/real-estate-forums/market-trends-and-conditi...

Thanks Lanemccaw great stuff! But I am looking for away to do this without an agent because I don't have one!?

Don't do this without an agent. I tried that, an agent is your best friend! You need the MLS Solds to determine TRUE quick sell ARV. Do Not use any website to determine value. (Zillow, Trulia, Realquest, Totalview are all estimates.) Do not rely on them for true values.

If you go to the left side, about half way down you will see a section titled Student Resources. Click on Real Estate Analysis System. There you will be directed to a Very Useful site called Total View Research and Merketing. There will be listed useful information about the property you entered Check it out and you will see what I am saying. Have a Great Day!

Check out these books from Dean:

http://BruceThomas.bookmentioned.com

Bruce.....

everything that has sold and was only on the market for 30 days or less. Those are your quick sell ARV prices.

Take that list and sort out the REO's from the Retail solds.

Take the retail solds and categorize them into groups: Style, Beds, Baths, Garage, Sqft, Zip Code.

Take the sale price and divide it by the sqft of the property to get the average price per sqft for each property.

When you get a lead on a property, take that property and compare it to at least 3 retail houses that have close to the same criteria. Average the 3 prices/sqft and then multiply your average price/sqft times the square footage of your subject property.

That is your TRUE Quick Sell ARV.

Now take that ARV times 70%, subtract your repair costs and your assignment fee and make your offer.

Zillow. I only say this for one reason... It will show what's recently sold in an area. That is accurate data. It will also show what's for rent at what price, also accurate. It gives the sqft often and the number of beds and baths.

I will stress.... DO NOT TRUST THE ZESTIMATE which is what I believe the above user is saying. It's so incorrect they had to call it a zestimate instead of an estimate. I hate the Zestimate because I can't tell you how many times a person calls me up and thinks they know what their property is worth because Zillow said so. Zillow can burn for that one.

Don't worry about getting down to the penny for your first deal. As long as you are close you'll be fine.

HOT TIP...

What's the worst case scenario? You're off on your estimate and shot too high. You market the property and it doesn't sell or you make $3K instead of $5K. I've had this happen. Simply go back to the seller and say "None of my buyers or other investors are showing interest and that's usually a key indicator that we are high on the price." You can't possibly see all determining factors and you certainly can't read the investors' minds. My first deal never would sell. It was a stellar deal, but the kicker was a setaline plant was fairly close. Initially I thought this to be good becasue there were plenty of blue collar jobs near by, it should be easy to find renters. What I didn't know is that one of those plants blew up in Japan a few months prior and it was scaring my investors out of that area. You can't know everything. You have to put it out there, get some feedback from investors, bring that back to the seller, and tweak as you go. Don't expect the first one to be perfect. This deal, by the way, took 3 months to close. I made $4500. I still had hardly any work in it at all and the sellers came down from $25K to $8K over the course of the 3 months. All because I worked with them.

You're providing a service. If it is a motivated seller on an owned or nearly owned property they will be willing to work with you so long as you are on top of your game and explain to them it is a process. When you get our size you'll already have a buyer in mind before you lock one up on contract and won't have to dance around like I did on my first deal.

IDEALLY you have an agent who does this for you. However, what I'm saying is don't let it stop you if you don't.

Own Your Situation,
Ben

This website: www.Realestate.****/homevalues can also help as it gives info like Bed/bath, distance from the house, more houses to compare against, sold price, date of sale, etc.

GH

Sorry, the correct site is on the subject line above. It removes the "****" part when written on the comment part. It can help as it gives info like Bed/bath, distance from the house, more houses to compare against, sold price, date of sale, etc.

GH

Thanks everyone!

Future don't give up on a realtor, even the "for sure realtor friend" did not return our calls. LOL...then after looking some more (I put our criteria in an email & send out 2 requests) the right one replied & offered to send the info that night without us even asking.

Now I am asking for all the "cash closings" on property from the past 90 days to look up their tax info & get the cash buyers names to send the Dean letter to them.

Good luck we are also in the East Valley. :0)

See you at the TOP!

Maxine

Your link doesn't work. Is it supposed to be "book I mentioned"?

That link was auto-edited because we're not supposed to list websites on here. I still see them a lot, so I don't know why some take and some don't. Anyway, yours didn't lol. The correct url is in your subject line though

Just a fyi: you can go back into your post and edit it. You should see an "edit" button under each one of your posts. For future reference!

I believe in "Leverage" and "Keeping it simple" so agree that the agent is the "go to" person .... Using the team...delegate, delegate, delegate. Just watch em' like a hawk!!!

Ron and Ingrid

foreclosure = aka where most investors are playing. But most don't know what you're learning and we want to get it better. It's what YOU HAVE to beat if you are going to be wholesaling. or why else would you buyers need you.
(Note: just pay attention to the whole picture. alot of REO come on the market WAY over priced for their CURRENT condition. just make sure you are comparing apples to apples distressed to distressed, fully updated turnkey to turnkey)

retail = what you can ACTUALLY sell the property with a full market comparable rehabs. determine your quick sale price WILL be your starting point to back your numbers out of if your buyer is a flipper OR you're flipping yourself. (like or better condition at better price than your competition)

believe you are referring to 'general' comps as being the full weight of solds (the good, bad and the ugly - lol)

Blessings,
Jen