Real Estate Deal Analysis & Advice
Market News & Data
General Info
Real Estate Strategies

Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal


Real Estate Classifieds
Reviews & Feedback
Updated about 7 years ago on . Most recent reply

Potential first deal isn't a homerun, but should get me on base!
Most Popular Reply

When a property is on a busy street the ONLY valid comps are ones on that same busy street. If your ARV is based on comps away from the busy street, its junk. There will be a significant discount for the busy street. To get an idea of how much of a discount, try to find sold properties on the busy street and compare them to solds away from it.
Further, because of the limited comps your appraisal will be even more of a crap shoot than usual. Hard to comp properties mean the appraiser has fewer to choose from. One bad comp can have a big effect.
Don't fall into the "gottadoadealitis" trap. As a new investor, you'll make lots of mistakes that will cost you money. Better to have an especially good deal for the first one to make up for that.