3 Ways to Find Comps When Determining ARV for Your Wholesaling Deal

3 Ways to Find Comps When Determining ARV for Your Wholesaling Deal

2 min read
Brandon Turner

Brandon Turner is an active real estate investor, entrepreneur, writer, and podcaster. He is a nationally recognized leader in the real estate education space and has taught millions of people how to find, finance, and manage real estate investments.

Experience
Brandon began buying rental properties and flipping houses at the age of 21. He started with a single family home, where he rented out the bedrooms, but quickly moved on to a duplex, where he lived in half and rented out the other half.

From there, Brandon began buying both single family and multifamily rental properties, as well as fix and flipping single family homes in Washington state. Later, he expanded to larger apartments and mobile home parks across the country.

Today, Brandon is the managing member at Open Door Capital, where he raises money to purchase and turn around large mobile home parks and apartment complexes. He owns nearly 300 units across four states.

In addition to real estate investing experience, Brandon is also a best-selling author, having published four full-length non-fiction books, two e-books, and two personal development daily success journals. He has sold more than 400,000 books worldwide. His top-selling title, The Book on Rental Property Investing, is consistently ranked in the top 50 of all business books in the world on Amazon.com, having also garnered nearly 700 five-star reviews on the Amazon platform.

In addition to books, Brandon also publishes regular audio and video content that reaches millions each year. His videos on YouTube have been watched cumulatively more than 10,000,000 times, and the podcast he hosts weekly, the BiggerPockets Podcast, is the top-ranked real estate podcast in the world, with more than 75,000,000 downloads over 350 unique episodes. The show also has over 10,000 five-star reviews in iTunes and is consistently in the top 10 of all business podcasts on iTunes.

A life-long adventurer, Brandon (along with Heather and daughter Rosie and son Wilder) spends his time surfing, snorkeling, hiking, and swimming in the ocean near his home in Maui, Hawaii.

Press
Brandon’s writing has been featured on Forbes.com, Entrepreneur.com, FoxNews.com, Money Magazine, and numerous other publications across the web and in print media.

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Instagram @beardybrandon
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You may be wondering how to find comp data concerning the sales price of the properties you’re trying to wholesale. Here are a few ways to do so.

3 Ways to Find Comps When Determining ARV for Your Wholesaling Deal

1. The MLS and an Agent

The MLS is a real estate agent–owned collection of data concerning all the listed, pending, and recently sold properties in a given area. Although this information is typically not available publicly, most real estate agents can print you a list of comps in just seconds, for free. Even better, when starting out, you can work with an agent to help you figure out the ARV on a potential deal, even though the agent won’t make any money on the transaction.

BRRRR-strategy-deal

Related: The Ultimate Guide to Quickly Estimating a Property’s ARV (After Repair Value)

How do you get a real estate agent to volunteer their time helping you? By building a strong reciprocal relationship with that agent! Network, ask for referrals, and interview agents to find the best one in your area and then let them know who you are and what you do. Next, ask them if they would be willing to occasionally help you look at deals and determine an ARV in exchange for you referring all leads that you can’t work with to them. Then, don’t bother them very often, but maintain a professional working relationship based on mutually beneficial goals.

After all, when you are operating as a wholesaler, only a small percentage of the deals that come across your desk from your marketing (which we’ll get to) will be worthy of your consideration, so you can refer all other leads to the agent. This is truly a win-win relationship that can benefit both parties greatly.

2. Online Real Estate Portals

Many of the online real estate portals, including Zillow.com, offer limited “sold” comps for some properties. Although this information is not as comprehensive as the MLS data, it may be more than enough for what you need. Additionally, you could use any free online real estate portal—such as Zillow.com, Trulia.com, Redfin.com, and Realtor.com—to look at all the homes currently for sale. While you shouldn’t use “for sale” prices in an appraisal, this can at least give you a ballpark of what homes are going for. You would then just deduct a little to come up with an estimated ARV.

landlord-lessons

Related: Blindly Following the 70% ARV Formula is For Fools: Here’s Why

3. Public Records

Finally, whenever a property is bought or sold, the transaction is recorded in the public records for anyone to see. However, even though you can search your county’s online public records to find a property’s most recent sale price and sale date, you will probably not discover any information on the condition or specifics of the property.

Still, you can use the public records in conjunction with online real estate portals such as Zillow.com, Trulia.com, and Realtor.com, which usually keep a record of old listings for a long time. Just Google the address of a property that has recently sold, and you’ll likely find the original listing, complete with photos and other relevant information.

[This article is an excerpt from Brandon Turner’s The Book on Investing in Real Estate With No (or Low) Money Down.]

Any other ways you find good comps for properties you’re wholesaling?

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