Navigating the Texas real estate market can feel like wandering through a maze, especially when it’s time to sell your house. How can you be confident you’re setting the right asking price?
Knowing the value of your home and understanding how comparable properties or “comps” factor into this equation is critical. Accurate comps can differ between a house that sells quickly or a property that languishes on the market.
But how do you go about finding these all-important figures? Luckily, we’ve got you covered. Keep reading to learn our top tips on real estate comps and how to use them.
Ways To Find Real Estate Comps in Your Areas
Finding real estate comps isn’t hard. You just have to know where to look. Below, we explain how to get the best comps to find the market value of your home.
Use Online Real Estate Platforms
Popular websites like Zillow, Redfin, Trulia, and Realtor.com offer a wealth of information on recently sold homes in your local market. All you have to do is enter your address, and these sites will give you a list of comparable homes nearby with details like sale price, square footage, number of bedrooms, and number of bathrooms.
Hire a Professional Appraiser
Appraisers are professionals who determine the market value of a property based on several factors, including comparative market analysis (CMA), current market conditions, and the home’s features.
They have access to multiple listing services (MLS) and public records that may not be available to the general public, providing you with accurate comps. An appraisal might be worthwhile, particularly if you’re selling a house without a realtor.
Contact a Local Realtor
Licensed real estate agents have in-depth housing market knowledge and can provide valuable insights. Real estate professionals often perform a comparative market analysis, which is an in-depth look at recently sold homes like yours. This analysis will include square footage, number of bedrooms, and upgrades.
Check Public Records
Property records can give you a lot of information about recent sales and comparable homes from the local county assessor’s or recorder’s office. These records include the sale price and the description of each property.
Remember, a suitable real estate comp has to be like your home in terms of size and design. Moreover, it should be in the same school district and have easy access to amenities like public transportation. This home should have sold within a reasonable time frame considering the current market trends and seasonality.
Understanding how to find and use real estate comps is vital to selling a house from start to finish. With these strategies, you can set your listing price and sell a house fast in San Antonio or anywhere.
But before you do that, let’s explore real estate comps some more. Read on to find out the basics.
What Are Real Estate Comps
Real estate comparables or ‘comps’ are recently sold homes that are similar in value to your property. They are the benchmark that helps homeowners, home sellers, real estate agents, and appraisers determine the market value of a property.
Comps should match your home in square footage, number of bedrooms and bathrooms, location, age, and condition. For example, if you’re trying to determine the value of a single-family home with three bedrooms, two bathrooms, and around 2,000 square feet, you’d look for homes like that which recently sold in your area.
Furthermore, features and upgrades like renovated kitchens or bathrooms, a finished basement, or a pool can add to a home’s value. Therefore, comparable properties with similar upgrades are more accurate indicators of potential market value.
A comp should be in the same or a very similar neighborhood to yours. Proximity to amenities like shopping centers, schools, and public transportation can influence home value. So can the home’s placement in the neighborhood—a house on a quiet cul-de-sac may have a different value than a home on a busy street.
Since housing market conditions can fluctuate over time due to seasonality, economic trends, and other factors, the most accurate comps are usually homes sold within the last three to six months.
How To Find Real Estate Comps
If you want to know your property’s market value, then you should be using real estate comps. With this information, you can make informed decisions whether you’re buying, selling, or just want to know the value of a property in the current market. Here are five ways to find reliable comps to evaluate your home value.
Using Respectable Real Estate Websites
Several online platforms provide free access to data about recent home sales. Websites like Zillow, Redfin, Realtor.com, and Trulia offer comprehensive databases of listings and sold prices.
You can filter results by area, property type, square footage, and the number of bedrooms and bathrooms. By reviewing similar homes sold within a specific time frame, you can understand the market conditions and trends influencing home prices in your area.
Online Home Valuation Tools
Online valuation tools, also known as automated valuation models (AVMs), provide an estimated home value based on public records, historical data, and algorithms.
These tools, available on sites like Zillow, use Real Estate Comps, among other factors, to quickly estimate your home’s worth. While these tools can provide a ballpark figure, remember that they may not account for unique features, upgrades, or market conditions.
Using a Real Estate Agent
Licensed real estate agents have access to the Multiple Listing Service (MLS), a database of current and recently sold listings unavailable to the general public.
The MLS provides detailed information about similar homes, including square footage, lot size, number of bedrooms and bathrooms, and the listing price versus the sale price. Experienced agents can provide a Comparative Market Analysis (CMA) and guide you through the local market trends and conditions.
Public Property Records
County assessors keep public records that include property data and recent home sales. You can access this information online or by visiting the county recorder’s office. While searching through property records might take some time, it can provide a wealth of data about comparable home sales, including sold prices and the property’s tax history.
Comparative Market Analysis
A Comparative Market Analysis (CMA) is a detailed report that evaluates home prices based on similar recently sold homes, current market conditions, and future market trends.
Real estate professionals typically prepare these reports to help homeowners and potential homebuyers understand a home’s market value. A CMA considers multiple factors, including similar properties, square footage, renovations, school districts, and the housing market’s seasonality.
Finding reliable real estate comps can be a comprehensive process, but it’s necessary to understand a property’s value accurately. Whether you’re thinking about selling a house without a realtor or using the services of a professional, the right comps will guide your decisions to help you in selling a house from start to finish.
Why Finding Comps Are Useful When Selling Your Home
Real estate comps help you understand the local market and set a realistic asking price for your property. A property priced correctly based on relevant comps is more likely to attract potential homebuyers.
Cash home buyers in Fair Oaks Ranch want to know the real estate comps in your area before they make an offer, so it’s a good idea to have this available. What’s more, real estate comps give you a broad view of the current market trends, enabling you to determine how your property stacks up against similar homes. If your home has more upgrades or is in a better school district, it may be worth more than comparable properties.
Conversely, if your house needs renovations or is smaller in square footage, its value might be lower. Comps also help you negotiate with potential buyers. By presenting comparable home sales that support your asking price, you are more likely to justify your home’s value to buyers and their lenders. That is essential since the lender’s appraisal can affect the sale price.
Lastly, real estate comps can help you decide when to sell. By understanding market trends, such as seasonality and fluctuations in home sales, you can choose the optimal time to list your property. Remember that potential buyers who say we buy houses in Texas want a keen understanding of market conditions and the value of similar properties.
In the Texas real estate market, understanding real estate comps is essential in determining your home’s value and setting a reasonable asking price.
By using reliable real estate websites, online home valuation tools, and the expertise of real estate professionals, you can gather relevant comps to guide your decisions. Real estate comps provide the data you need to navigate the process confidently.
Don’t underestimate the power of this tool in real estate transactions. With accurate comps, you can take control of the selling process and get the highest price for your property. Additionally, it’s crucial to stay updated on market trends and local economic factors that can impact property values.