OfflineLately, you as well as I have probably found it hard to find a true FMV (fair market value) on properties. As you know we use the FMV to run an offer formula. Some have turned to places on the web to find a FMV but have quickly found out that comparables are the best way to figure the value.
Then why are the current values so hard to get? And when we do why the values are so much lower that we have seen in the last few months?
Recently, the government has started to initiate the incentives for the banks to accept short sales and REO offers. Many, many low offers are starting to flood the market.
You may have five comparables and three of which are short sale offers. This is dropping the FMV on most properties.
When making an offer or determining the value of a property try weeding out the short sale offers. You may also work off the average price per square foot for the city and/or area. Taking this average price per square foot and placing it comparative to your FMV you just pulled.
These methods may help you get a more suitable and correct value for your properties.
If you would like the chance to work with me or one of my fellow real estate investor coaches and our advanced training programs, give us a call anytime to see if Dean's Real Estate Success Academy and our customized curriculum is a fit for you. Call us at 1-877-219-1474 ext. 125
Although I use Zip Realty to find my comps, it's not available in all parts of the country. They supply a google earth type view whereas I can compare the style, location and outdoor amenties of the property. Also don't forget to figure in the possible areas that could be detrimental to the property, i.e. located on a busy street, industrial or commercial nearby, style of house just doesn't fit the neighborhood.
man this is the question of the year. I suggest Deans 4closure alert program or the Prop Trend Software the coach program sets you up with.
If you would like the chance to work with me or one of my fellow real estate investor coaches and our advanced training programs, give us a call anytime to see if Dean's Real Estate Success Academy and our customized curriculum is a fit for you. Call us at 1-877-219-1474 ext. 125
Nate/coach i truly believe action over-rides a dollar, There are so many ways that you can think about...A way! I say education is king, But instinct is a beast! I know what i write is not without holes in it, Then again...Action = gain...True no money down! Like always coach thank-you for the great info.
rand/2for1
Then why are the current values so hard to get? And when we do why the values are so much lower that we have seen in the last few months?
Recently, the government has started to initiate the incentives for the banks to accept short sales and REO offers. Many, many low offers are starting to flood the market.
You may have five comparables and three of which are short sale offers. This is dropping the FMV on most properties.
When making an offer or determining the value of a property try weeding out the short sale offers. You may also work off the average price per square foot for the city and/or area. Taking this average price per square foot and placing it comparative to your FMV you just pulled.
These methods may help you get a more suitable and correct value for your properties.
HOLA como estas nstreet: Creative artistic open minded ENTREPRENEURIST *Gracias for your INFO (KNOWLEDGE) STICKS WIZZARD DRAGON
STICKS WIZZARD DRAGON the ENCHANTMENT OF SPIRITUAL ARTISTIC PASSION
Thanks for posting this information on FMV and short sales. I found it interesting that you indicated banks are getting incentives for short sales. Can you provide more details on these types of incentives and which banks (large or small) may be getting these types of government incentives? Thanks and have a great day. Believe and Achieve!
Indiana-Joe
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