Jeremy, thanks for your spreadsheet. I tried it on the last two properties I bought and each indicated that it is worth more than I paid. Of course, that means I love the results . I do want to play with it some more, perhaps adding some of my own adjustments. I did use 5 comps on one and 6 on the other.
btw, I learned something from your sheet too, doing the custom formatting to incorporate the title and value in one cell. I play with spreadsheets all the time and waste quite a bit of the sheet just for the description of the cell.
I have to look how the solver works too. That is over my head but looks interesting.
Thank you for the spreadsheet
Originally posted by K. Marie Poe:
Jeremy: I still don't get it. If your spread sheet doesn't give me the same value (or lower) that is acceptable to a lender's appraiser or to a buyer, it has no application. Interesting, yes. But we use valuations to buy, sell, borrower, refinance and for tax assessments. All of those parties have variables that you can't account for.
Are you sitting on your mountain top trying to write the program that will replace appraisers? :) Now, that I can understand. That would make you 'da man and a lot of money.
Marie, one basic tenet I use in all my investments is if I come up with a value different than the masses (appraisers, etc) then there is an opportunity to make money. If one was able to tune this spreadsheet to the particular market, it might be very helpful.
I think I can download a whole bunch of sales data, maybe from RedFin or similar, and then run a bunch of active listings through. When the calculated price exceeds the list price by 20% or so, I can look further into that property.
