@Easton Enge , I imagine that the answer is "yes", with the proviso that you are using the correct formula for a single family home, which of course is largely guesswork anyway, because every property is unique, and the market value depends on who is looking to buy on any given day and how much they can afford, and how good the selling Agent is, and how desperate you as the Seller is at the time, and how much the Buyers have researched the comps, and (should I go on)?...
Remember, ARV just means the value after necessary repairs have been done to make the property rentable/livable, and the market may well not pay any more for a home with a new kitchen than one with just a serviceable kitchen (et cetera). Let your guesses begin! Cheers...
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Calculating values for single family homes, duplexes, triplexes and quads is pretty much the same with the exception that with multiple units you spread the numbers according to the number of units and the per unit rents. Marketing a single family house does differ in that improvements in the kitchen and baths will probably produce a higher return as it is more critical to sales where as multiples are more than not just rentals which will not be purchased on a per unit basis unless you are talking condos and townhouses which tend to have criteria applied to them more in line with single family homes because each unit will have it's own title.
Whatever the case I would be thinking of providing what is in line with the market my properties are in. High end market then good quality amenities, lower end market not much above or at serviceable, functional, and durable.
Anything below 5 units will be valuated based on comps
Maybe if your units are in excellent shape you might experience a higher occupancy rate and cash flow personally but when it comes time to sell do not count on a higher appraisal or market price. If it was true that the better quality equals higher valuation and appraisals and market price I would be buying $25,000.00 properties all day long and making a killing when selling and so would everyone else. There would be no such thing as over improving for your market.
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