BiggerPockets

i use them to look at the recent sales for comparable properties. be cautious and make sure u look at the dates of said sales...i've noticed that zillow uses a lot from 07.

i also sometimes look at eppraisal.com for this

Try this thread for a bunch of BP links I posted regarding getting comps:

http://www.biggerpockets.com/forums/103/topics/39825-investor-making-an-offer-on-a-short-sale

And don't forget to vote for that post if you find it worthwhile.

I believe Zillow uses dart boards for their Zestimates. Their comps are pretty good. You can also use Eppraisal, Cyberhomes and a few other free sites for comps.

Zillow doesn't seem to distinquish between the different types of houses within a geographic area. (At least they don't around me.) You can have townhouses on one block at one price and SFD houses on the next and Zillow will lump them together to get the Zestimate. As a result, Zestimates for townhouses around my house are way overinflated.

You can also use tax record data. Last year, around me, the tax assessments were too high compared to ARVs. This year, assessed values were cut in half (actually more than half). So now the assessed values are about 2/3 of the ARV. If you know how the tax assessments compare to ARVs, you may be able to quickly come up with ARV.

Happy estimating!

!. Eprassal (about right on target)
2. Cyberhomes (good most of the time)
3. Zillow (out there flapping)

Like Josh said, there are no shortcuts. Here is an example:

I put in an address where I know the value, here is the breakdown per site:

Zillow: $159k
Epraissal: $147,539
CyberHomes: $112,110

Actual Value: $100k

Talk about throwing money away...cyber homes was close but that 12k could cost me a deal or cut into my profits. The problem with those sites, like others mentioned is they use old comps and if you know your area you can most likely discount some that are too far away just by looking at the street name.

In a market that is rapidly changing you simply cannot afford to rely on outdated data, you need to know what the home is worth TODAY, not last year.

Jeff

Originally posted by Joseph Ziolkowski

Thanks guys! Jeff, will a title company that you have not yet worked with do that for you? Who would you speak with to get that done?

YES! They want your business. Almost any of the title agents can pull them up for you. Mine will email them too me or fax them.

Jeff

Originally posted by Joseph Ziolkowski

Awesome! So would you just call them out of the blue? Stop in? Sorry if the question seems stupid :)

Yeah I call whenever I need comps. There is a title company that I don't know anyone at and I've never been in before but they pull comps for me in that county. It's all about being able to quickly build rapport with someone as well as being polite and respectful.

I'm sure there are lots of title companies in your area and they are all competing for business. Title companies want to take care of investors and realtors. What other type of buyer is going to have them close multiple deals a year? Retail buyers see them maybe two or three times in their life so from a business perspective it makes sense to take care of the people that feed you.

Jeff

Not every property, I live in a small town and I know the comps pretty well. Some rural areas are tough though because alot of them have acreage vs a small "city" lot and usually very few comps to compare.

What I like to do to stay on top of it is look every couple weeks at recent sales. I also keep track of what the realtors are doing, especially with REO's. On some of the REO's I make notes every time they lower a price so I can follow it along. You'd be amazed at how often a realtor will start 40-50k above where they should, then they lower the price as the market falls but still remain too high. It's like they're in denial about what the true value of these homes are. Oh well, that's another topic.

Bottom line is you need to study your target area thoroughly so you know the comps as good or better then the realtors for that area.

Jeff

Sure does, thanks Jeff! Even when I was newer than I am now, your advice was always solid. When you say that every couple of weeks you check recent sales. Do you get that info from the title company, a realtor, or somewhere else? Sorry to ask so many questions, but I feel like we're on a roll here :)

Great idea! I like the county idea. I'm just trying to figure out a way to organize the info. My county isn't the best about that.