Running Comps -which features matter most?

[Noah McPherson]

Hey BP,

For beginner investors like me, I feel it's important to know which features change the value of a house the most because you can use this information to figure out ARVs and be aware of value add opportunities. Besides Bedrooms, Bathrooms, and Sqft, what do you guys put at the top of the list?

[Bob Okenwa]

For value-add opportunities, bathrooms and kitchens are where you'll see the most return on value because this is where you can put most of the shiny and pretty things buyers like to see in homes. Light fixtures, door pulls, tile work, counters, cabinets, and so on. 

The cheapest fix is paint. Totally changes the look of a room and can make it feel bigger, brighter, and more welcoming.

Opening up rooms is favorable so long as it fits the budget. Load-bearing walls can be expensive to take down. 

Finishing a basement or attic is nice as well but can be costly.

Flooring is a big one. Just be aware that the cost of the flooring itself isn't as important as how it looks once it's on the ground. Most retail buyers cannot tell the difference between $2/sf LVP and $10/sf laminate.