Is it better to do comps based or sq. ft. vs the amount of rooms in the house. My concern with sq. ft. of a building is properties that have different sized lots. How that might effect the pricing when doing comparisons.
Thank you for any help
Hello @Rueben Pacheco ,
I would recommend narrowing the comps based on LOT sq. ft. first. Once you've got properties within a similar sq. ft. range, you can then begin to narrow even further by selecting the comps with a similar building size, building type and building age.
Number of rooms is a great metric to use when you have enough results matching the above criteria and need to narrow down a bit more.
Best of luck to you moving forward!
Running comps is as much art as it is science. I do things different than Abel, that doesn't mean either of us is wrong. I start by location, age, and home size. Then I add in value for the additional land. I only give number of rooms a glimpse. In our market, a 4 bedroom may not net more than a 3 bedroom if the sq ft is the same. An appraiser also doesn't give value for the extra bedroom, only the extra sq ft. I would recommend getting a good agent on your team to help you with this and what is best for your area