Comps & Making Sure You Get it RIGHT!

Comps & Making Sure You Get it RIGHT!

Pataskala, OH · Member since 2014 · 36 posts · 4 votes

Hello Everyone!

Here's the deal...

It looks like I've found a motivated seller, and I'm putting together my information to do the deal. Its a duplex 3/2, 1975 SQFT. That's the roughest of info, but part of the larger picture. When I'm looking at sold record in the surrounding area I can only find 1 property within 10 miles, same ZIP code, or even the same use type. I can find equivalently sized SFH's close to this property, but 90% of them are 4/2 1800 SQFT they have.

I'm not looking to fudge the numbers or inflate anything, so is it safe to use the SFH data for part of my calculation? My gut says that when all else fails, use what you have; but my newbness (is that a new word?) says "for the love of all that is holy ask for help!!!"

So there you go community, can anyone offer any advice that has been in a similar situation and was able to make it work?

Thanks!!!

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  • Rental Property Investor · Liberty Hill, TX · Member since 2014 · 285 posts · 166 votes
    12y

    Search CAP rate on BP. Why not perhaps as accurate as actual comps it will help and you will learn a lot figuring out what the cap rate is in our area.

    You really don't say what your goal is buy and  hold, flip, wholesale.Include more details it helps to better answer your questions.  Good luck.

  • Residential Real Estate Agent · Cookeville, TN · Member since 2013 · 1k+ posts · 948 votes
    12y

    @Stephen Menches 

     - Here's my advice to you as a newbie:  You don't have to do every "deal" that you come across.  Especially as a newbie, take a pass on anything that seems to be too high risk.  Now on the other hand, if you're just going to tie this one up with $100 earnest money and try to wholesale it, then your risk is pretty minimal.

  • Pataskala, OH · Member since 2014 · 36 posts · 4 votes
    12y

    @Martin Scherer 

    @Bryan L. 

    I forgot to write my exit strategy, d'oh! I'm looking to wholesale it. I'm trying to build up my capital before I get into anything long term. The CAP rate info is a direction to start in, so thank you!

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