Estimate Home Values to within $34.00!

[Jeremy Wells]

I just put together this spreadsheet for using comps to estimate the value of a potential property.

Have you ever wasted time trying to play around with adjustment amounts to get your comps to all end up around the same adjusted price?

This spreadsheet uses a macro-enabled iteration that changes the adjustment amounts incrementally to minimize the standard deviation among the adjusted comp prices. I've only tried it on one property. Please, try it out and let me know if it works for you!

You can access the spreadsheet using the link below. If you get a yellow bar in Excel when you open it, you must enable macros to use it.

http://www.biggerpockets.com/files/user/twotalents/file/compcalc-10

~Jeremy

[J Scott]

I haven't looked at the spreadsheet in any real detail, but based on your description, that's not how a comp analysis typically works. And just a brief view of the spreadsheet indicates that the comp analysis in your example uses three houses that are most likely not very good comps for your subject property. The fact that you were able to get their adjusted values to converge to some number would seem to be more a spreadsheet exercise than a comp analysis exercise.

If I played around with the numbers, I could adjust the value of The Empire State Building to converge with the values of my typical flips, but that doesn't mean the comp is a good one or that the convergent value is meaningful.