How to Value a home in a non-disclosure state/remote area

Question

Hey BP Members,

I’m living in Fairbanks, Alaska. It’s a smaller market, and a non-disclosure state. That being said, comps on websites like Zillow don’t show the prices that they sold for.

How would you go about understanding the value of homes that you want to purchase, without being able to see those recent sales prices?

Any advice is welcome, and thanks!!

Connor Dunham · Answer

@Nicholas Mazdra sometimes they report on Zillow. Just makes friends with a realtor to see what people are giving away at closing. Lately, I've seen 2-3% seller-paid closing costs and 0-3% off list price. There are several factors that affect what you can do. Other data to look at on Zillow are pending and recently sold properties. Stuff to look at for these is time-of-year listed, condition, how far they dropped the price over how many days on market. Best of luck with your search!

Keenan Fitzpatrick · Answer

@Nicholas Mazdra realtors can absolutely tell you what it sold for. Zillow tends to be about 8-10% high and the tax assessment is about 5% low. This should get you in the ballpark for most values most of the time.

Connor Dunham · Answer

@Nicholas Mazdra. No. I just find comps on zillow (recently sold), then email those to a realtor or two I'm friends with and they will help me out with the data. It's good to build those relationships over time.

Nicholas Mazdra · Answer

Connor, Thanks for the advice. So down in Anchorage are you able to see the final sales prices of comps on the MLS? Are you allowed to share this with your clients?

Nicholas Mazdra · Answer

Thanks for the advice. I started working with a realtor, and I have been able to get ahold of things like seller's disclosures and inspections. That being said, they still don't have access to sales prices. It's very interesting. According to my realtor, all they can see is the old list price, and whether the appraisal came in high or low. It doesn't show exact values. It's very secretive up here in the mountains of Alaska.

How to Value a home in a non-disclosure state/remote area

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