OfflineI've been searching for the answer to this question. I have a buyer who is determined to know the ARV of a property. I have the comps from a realtor but I don't know how to come up with the ARV using the comps or if you even use the comps to figure it out. What's the formula? Would a realtor be able to tell me the ARV? Thanks in advance
Chanda
__________________
Chanda
But thou shalt remember the LORD thy God: for it is he that giveth thee power to get wealth, that he may establish his covenant which he sware unto thy fathers, as it is this day. Deuteronomy 8:18
Most real, experienced buyers know how to calculate their own ARV!! They have their own agents doing this for them.
ARV is based on comps(real comps, fixed up the way the subject property will be fixed )sold in the last 90 days. Currently listed and under contract comps will give you a idea of the competition and average DOM. PLUS you have to know the specific property. Is it on a busy street, is the next door neighbor a junk collector, is there a liquor store on the corner, an apartment complex across the street, a rail road track? This info WILL NOT be reflected on some generic 1/2 mile from the subject property comp search. Comps can vary street to street! Know your area!
You can also ask your agent what he/she thinks the place could be listed for AFTER rehab.
Michael Mangham
Mentoring/Team Building Nationwide
MD Home Acquisitions LLC
Knowledge is power, but execution trumps knowledge. Tony Robbins
http://www.mdhomeacquisitions.com Seller site
http://www.mdhomeacquisitionsbargainhouses.com Buyer site
http://www.mdhomeacquisitionshousehunter.com Bird Dog Site
http://www.mdlodeals.com Tenant/Buyer site
I will ask my agent. The buyer wants me to get more and more information even after we have a signed contract. Thanks for the reply.
Chanda
But thou shalt remember the LORD thy God: for it is he that giveth thee power to get wealth, that he may establish his covenant which he sware unto thy fathers, as it is this day. Deuteronomy 8:18
Chanda, you are taking action and that is awesome! This is how you will actually learn this business. Moving away from all the theory and into the real world. Good for you!!!
I like your bible verse. Remember, if He is with us, who can stand against us? No one or no thing!!!!
Go get em!
Michael Mangham
Mentoring/Team Building Nationwide
MD Home Acquisitions LLC
Knowledge is power, but execution trumps knowledge. Tony Robbins
http://www.mdhomeacquisitions.com Seller site
http://www.mdhomeacquisitionsbargainhouses.com Buyer site
http://www.mdhomeacquisitionshousehunter.com Bird Dog Site
http://www.mdlodeals.com Tenant/Buyer site