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She is a licensed Realtor and broker with more than 40 years of experience in titles and escrow. Her expertise has appeared in the New York Times, Washington Post, CBS Evening News, and HGTV's House Hunters. A home is worth only what a buyer must pay to replace it, on the day the buyer is ready to buy. So when you prepare to sell your home and you wonder what it is worth, you must ask yourself "what home would somebody buy if they cannot buy mine."
Scrolling down slightly on the same page will also show the most recently sold homes in the same neighborhood. If you scroll down even further to the bottom of the page, you’ll see a heading titled “Nearby Recently Sold Homes,” and a “View More Recently Sold Homes” button right below. The difference in percentage between list prices and actual sale prices for the homes in your neighborhood speaks volumes about the current real estate climate. This number strongly indicates which direction the market is moving in, and it will suggest how much under — or over — your ideal asking price you can expect to get for your home.
Tallahassee Home Searches
Real Estate agents can also help appraisers by providing them with the comps they used to establish the market value of a home. When someone asks what are comparables in real estate, the best explanation is properties most similar to the property being analyzed. Both real estate agents and appraisers use comparables to determine market value. As a real estate agent working on analyzing value, finding the right comparable sales can make or break the property’s correct price.
Some counties and cities have more detailed public information available compared to others. How much short sales are discounted from their market value varies among local markets. The average short-sale home in Omaha in recent years was discounted by 8.5%, according to a University of Nebraska at Omaha study. In suburban Washington, D.C., sellers typically discount short-sale homes by 3% to 5% to get them quickly sold, real estate agents report. In other markets, sellers price short sales the same as other homes in the neighborhood.
Formulate your price
Find a lender who can offer competitive mortgage rates and help you with pre-approval. Sale calculator to see what your estimated home sale proceeds could be. REALTORS® are the go-to source for all of your real estate needs. Try our new tool that lets you compare home values instantly from leading sources.
When a homeowner updates a bathroom or renovates a kitchen, their home value typically increases. Consider any renovations or upgrades you see in your real estate comps and how those compare to your home’s features. Does your home have a new kitchen or a deck that needs fixing? Either of these will undoubtedly have an impact on your home’s value. A home’s value typically increases when there are more bedrooms and bathrooms. This translates into a higher sales price and considering higher comps.
Similar Lot Size
When you compare your home with others, stay within a five-year range. When it comes to pricing, the bigger the property, the bigger the price tag. Analyzing comps entails some detective work, since chances are, your house isn’t exactly like every other on the block. Wade through the comparable homes and find one that is most like yours. Then use the following list to make note of what similar homes have that yours doesn’t, and what your home has that others lack.
Location– Realtors will focus on sales in your specific neighborhood, and the closer the home is to your property, the better. In some cases a Realtor may get hyper-specific and narrow the scope based on the location of roadways that traverse the neighborhood or convenience to nearby attractions. Unique conditions about the property’s location are also considered. By now you should have a complete understanding of what are comps and comparables as it relates to real estate sales. If you are in my area and have a home to sell, please feel free to reach out. In order to have the ability to access the multiple listing service, you will need to hold a real estate license.
Discover just sold homes & properties®
There are several variables to keep in mind when learning how to properly run neighborhood comps. In the previous scenario, the investor used recent sale prices to evaluate the potential profitability of an investment property. The key to this scenario was the term ‘recent.’ Because the real estate market fluctuates so often, any data obtained should be as recent as possible.
In this case, the appraiser may use older comparable sales as long as he or she explains why they are being used. Comparable sales from within the same neighborhood as the subject property should be used when possible, and must be used in certain instances . Sale activity from within the neighborhood is the best indicator of value as sales prices of comparable properties from the same location should reflect the same positive and negative location characteristics. Understanding real estate comparables and the state of the market in your local area is essential.
According to Zillow.com, a good rule of thumb is to use comparable home sales for properties that are currently pending sale, which will provide market data that is as “live” as possible. Ask your real estate agent to obtain information on the sale price for these types of deals. Location is also extremely important when running neighborhood comps, as home values are relative to specific markets. By finding comparable sales as close in proximity to your listing as possible, the more accurate of an indicator you will have. Property features should also come into consideration, such as square footage, lot size, age, condition, number of bedrooms and bathrooms, and additional features. Although it can be difficult to find a property sporting features identical to the property of interest, it is important to find comparable home sales that are as similar as possible.
An agent or broker will use comps to suggest a listing price for a home that’s about to go to market and represents a fair market price. Agents also have access to any pending sales, which would affect real estate comps and CMA reports. The sales volume in your area will also drive the fair market price on any home being listed for sale. For example, if your housing market is currently a seller’s market and homes are selling quickly, buyers may be making higher offers than they would be in a market that’s not so competitive. A comparable home sale is a property located in the same area with similar features, such as size, age and condition, to the subject property.
Don’t be surprised if your Realtor provides you with a comparable sales report that only includes a handful of comps. This means the Realtor narrowed the scope of sales in your area to those that most directly compare to your listing. Size – Realtors focus on comps that are similar in size, typically looking at comps within 10% of the subject property’s square footage.
Sellers often try to motivate buyers in slower seasons with a lower sale price, so keep seasonality in mind as you price your home. There are a number of free online resources through which comparable home sales can be pulled. Sales Comps is just one toolset within FlipProperties™ it is the all-in-one solution to manage your growing business. Don’t settle for having to use multiple systems or having inaccurate data. FlipProperties™ will allow you to take charge of your Real Estate business. Short sales are typically in good condition, although they are still distressed sales.
The owners usually have to sell because they're divorcing, or their employer is moving them to Kansas. The information comes from a combination of MLS data and tax records. We have access to tools that aggregate the tax data so you can have a clear picture of what has sold recently. The reports we provide are not available to those who are not members of the local MLS and are not able to spend the time and money to compile tax records. We've found that selling a home is simple if you have the right tools and they are fast and easy to use.
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