Need help with Comps

[Dexter M.]

Let me start off by saying I’m relatively new to this, so forgive me. Here’s where I stand…

I’m a newbie investor initially focused primarily in Wholesaling (I know… you heard that a million times). I have spent a good amount of time understanding and practicing all the different stages of Wholesaling. Thanks to hundreds if not thousands of Forum feeds, majority if not all of the Podcasts, and a few books I have grasped a good understanding of almost all the stages. Except one, COMPS! I have already started out Driving-for-Dollars but have yet to close on my first deal. The last stage I would like to get more familiar with before I send out my first Direct Mail Campaign is knowing a properties proper market value before I start negotiating with a motivated seller. I have to be able narrow down a ball park figure that I’m comfortable with before negotiating. And that’s where I’m stuck at.

Ok so being a newbie investor more times than not you don't have access to MLS and I don't. So until I get my license and get to that point I have to rely on the many online Comparable sites available. The problem I'm having is that each one seems to give me a completely different figure. I understand that I won't get the exact figure on each site but sometimes the numbers aren't even close. Below is a perfect example of what I mean (This house is not on the Market For Sale so for Privacy purposes I won't display the street number)

XXXX Wynfield Dr Jonesboro, Georgia 30238

XXXX Wynfield DrThis is a Single-Family Home located at XXXX Wynfield Drive, Jonesboro GA. XXXX Wynfield Dr has 3 beds, 2 baths, and approximately 1,770 square feet. The property was built in 2000. XXXX Wynfield Dr is in the 30238 ZIP code in Jonesboro, GA. The average list price for ZIP code 30238 is $106,223.

Zillow- $75,039 (Zestimate)

Eppraisal- $92,717*Market Value

Redfin- $63,900 Now Redfin has a Home Value Tool that lets you average four other similar properties recently sold within the neighborhood and that number is the average

Property Shark- $ 43,338 *Market Value

Trulia- $76,893 *Market Value

Now I plan on using the 70% Rule as much as I can when negotiating but here I have figures from $43k- $93k. That's a 50k difference. Am I using the wrong Comp Sites? Am I doing something wrong? Is there a more accurate way of finding home values without having MLS access? What would you do differently?

I need your help BP family any advice is better than none…

[Todd Whiddon]

@Dexter M. Personally I don't trust ANY of those types of websites.  Also zipcode analysis is too general.  For a subdivision like this you need to be concerned ONLY with what is in THAT subdivision.  Not the one next to it.

I would recommend you find an agent to partner up with, especially at first, to help you determine values. You need to find someone with access to GA MLS which has better data on the southside of Atlanta than FMLS, "both are Multiple Listing Services" As a general rule FMLS is better north of I-20 and GA MLS is better South of I-20.

In this business ACCURATE information is POWERFUL, a quick 1 minute search on GA MLS would give you ACTIONABLE info you can trust.

I deal mainly on the north side of town but know a few agents down there that could help you if your interested.