Why would a wholesaler bring comps to an appointment?

[Mike Schorah]

I’ve read on BP a couple of places that wholesalers do this. Why? Wouldn’t this cause the seller to want a higher price?

[Jerryll Noorden]

The comps are not there to support a lower price... nor a higher price.

The comps are there to support your offer.

As wholesalers, as business owners you are supposed to HELP your clients, not scam them into a lower offer. What ever your offer is needs to be fair, meaning .. it needs to be justified and often home owners think that because the wife gave birth on that blood stained sofa in the living room their house is 3 times what the ARV says. The comps are there to educate them on what the house is ACTUALLY worth.

The you justify your offer with the work it needs that SUPPORTS the comps.

If all the comps show that there is an open floor plan, you use the comps to show the seller that you NEED to put in $2000 to remove the walls to make it an open floor plan.

Get it?