No comps around? Need help for ARV..Please help...

[Cass R. Smith]

Hi

I know this question has been asked and answered before but in using the search tool I didnt really find anything answered recently.  I'm unaware of things have changed as far as comps. 

The property I have is on 5 acres and there is no comps even close...its all new construction homes and my deal was built in 1971.   The houses in the area are 200-500k but they are on 1-2 acres.

Any ideas to help me get a ballpark arv?

thanks 

[William Robison]

@Cass R. Smith 

Try finding the value of the house itself, using other houses on 1-10 acres. Then find the value of residential land only. Find a per acre dollar amount and adjust. Keep in mind that the first acre of land is not valued at the same rate as acre #10....meaning a one acre lot can be worth $50k and a 10 acre lot can be worth $140k. In this scenario, the incremental difference is $10k per acre, which becomes your adjustment rate. This formula is what is used by USPAP (appraisers).

Best wishes.