What is This Ugly House Really Worth?
Now that we know what the main areas of repairs and the importance of getting a good estimate next we need to know how to get “Comps” comparisons or find out how to find the Fair Market Value of a property. This is another critical area and traditionally it’s determined by a license appraiser. Even though that’s the most accurate approach it’s not necessary for us as wholesalers. Several things we have to make sure we understand….. We need to find out the “ARV” or after repair value of the house we’re looking to purchase. This will determine what it’s worth after repairs are completed. And that’s the value we quote to our buyer (investor). What ever you do DON’T use foreclosed homes as comparisons. Those houses reflect the low end of the market. The comps value is what we will use for our 70% rule. Networking to get access to the MLS (multiple listing service) through real estate agents but that takes time. So if you don’t already have access, don’t worry about it right now. Instead,
