Here is a quick and easy way to help you determine the ARV of a property. Let me say, though, that the only real source for accurate comps and determining an accurate ARV is the MLS. Everything else is… well… everything else.
There is only one true source. But, if you don’t have access to it, by either being a realtor or knowing one good enough where they’ll allow you to use their login and password, you need to make due.
Here is how you do it:
Google the address.
Here is an example of what you’ll see:
OK, so that’s not the clearest picture. I get it. But, I’m not a techie… so deal with it.
Click on trulia.com, zillow.com and homes.com and check the free value they give. In this case, it’s as follows:
- Trulia: $124,000
- Zillow: $117,000
- Homes: $103,000
Then, jump over to eppraisal.com and check that value.
Now, jump over to realtor.com and check that value.
OK, so my internet just decided to crap out on me. Doesn’t matter. I have a pretty good idea of the ARV of this house, given the free values I’ve collected. I average the values out – $118k – and I go with it.
Determining ARV without the MLS is really a gut feeling. Sure, you can pull comps using sites like zillow.com and trulia.com. But, how accurate are those comps? Is it possible that some of the sales are not listed on those sites?
How do I know? Because, I have compared them. I’ve pulled comps using a free service (and even a few paid, like FreedomSoft and Realquest) and they simply do not list every sale. And, leaving those comps out can skew the data.
Again, an exact science, this ain’t. The MLS is the only source for accurate comps and ARV. But, if you don’t have access to it, and let’s face it, most of us don’t, then you need to do what you need to do.
You’d be surprised at how close you can get.
Now get out there and flip something!
Andrew “The Maestro” Massaro
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