Due diligence websites

[Aaron Clements]

Hello All!

I'm just starting out and would like to know some good websites to do market research and due diligence for markets and properties. Where can I find out about population increase/decrease in particular markets and median values of single and multi family homes? I'm currently based in Indiana but am looking at possibly relocating to Phoenix. Thanks in advance for your input!

[Ross Denman]

If you are looking for data in Indianapolis.... here are some of my suggestions.

Zillow is an easy place to start, but their algorithms can be very wide. There rental zestimates usually run about $50-10% high in Indianapolis.

finestexpert.com - This is better than zillow because it gives you more information about the location and size of the comparables.

rentometer.com - This is a fairly good tool as well.

Public databases. My favorite is the permits and enforcement cases website for Indianapolis https://permitsandcases.indy.gov/CitizenAccess/ Search both the the home and the homes around it for issues. You may also want to check things like flood zones. I have access to this information via MIBoR, but I am sure that their are public places to find this information as well.

Don't be afraid to use a realtor or property manager. We have access to nonpublic information, whether it is what our clients are doing or historical data from the board of realtors or tax databases. Local investors and property managers are usually in the trenches and have a good pulse of the local markets.

At the end of the day, you want to build a team. Ensure that the team has different interests so that you have some checks and balances along the way. A realtor, contract, and property manager may all have different agenda's. The realtor wants to draw a commission, the contractor wants to work, and the property manager wants a home to perform. IMHO, a good property manager will be more aligned with your goals as a long term investor, but I do work with some very good realtors and contractors that are more interested in building long-term clientele and not driven by the profits from the deal at hand.

Best of luck!