How to Calculate ARV?

[Charles Johnson]

Can anyone provide some insight into how they calculate ARV?

[Taylor Dasch]

The most accurate way is to use a realtor as they have access to the MLS and what has sold in the area recently for the exact price it sold along with some terms such as seller concessions, type of financing etc.  When I was not working with a realtor, I just became really familiar with my market by analyzing deals. To start find a property that meets your criteria, then go to zillow or realtor.com and use the "sold" search, start with the map at where your property is and look at the houses close by, are they similar? If they are, and they are updated I write it down, and continue to do this 2-10 more times. The property that is most similar holds the most weight. Average out the properties to get the ARV. This will give you a general idea, then when you get really familiar with your market you will have a pretty good idea of ARV, I always take off about 5-10% just to be safe.