Comping properties is one of the most time consuming processes for real estate investors. Buying and selling investments requires a great deal of research, data, and analysis to determine the current value of a property, the estimated future value (an ARV for example), and the potential returns.
What makes it more complicated is ensuring that any properties you are using to comp are high-quality. It’s not enough to look at a property in the same geographic location, but you also have to look at matching similar attributes like bedrooms/baths, square footage, key features, listing history, etc. Otherwise you will have put a lot of time and effort into valuing your investment to get back an incorrect assessment. In our experience, an After Repair Value can usually be justified by 1-3 high quality comps.
Finding the right comps can significantly cut down the amount of time you need to spend analyzing and looking at data, so that you can get your deals done quickly and efficiently. Using Backflip’s Returns Analyzer, you can easily save hours scouring through the MLS looking for the best comps and make strategic investment decisions quickly. We provide up to 10 comps, pre-selecting the 3 we believe to be the most beneficial for your analysis, so you can determine your ARV in seconds, anytime, with just a click!