Real estate comps are similar properties that have recently sold in the same area as the property you’re evaluating. They help you estimate the market value of a property based on the prices of comparable homes.

Here are several ways to access comps:

Multiple Listing Service (MLS)

• Access: Only licensed real estate agents or brokers can directly access the MLS.
• Solution: Work with a licensed real estate agent or broker to obtain MLS data. If you’re licensed, you can access it yourself.
• Features: MLS provides detailed property data, including sold prices, days on the market, property features, and more.

Public Records

• Access: County appraisal districts and tax assessor websites often provide sales data.
  • Examples: Harris County Appraisal District (HCAD), Dallas County Appraisal District (DCAD).
• Search: Look up recent property sales and values by address or neighborhood.

 Free Online Real Estate Platforms

• Examples: Zillow, Redfin, Realtor.com, or Trulia.
• Use: Use the “recently sold” filter to find comparable properties in the area.
• Limitations: These platforms may lack detailed data like off-market sales or updates.

Real Estate Investment Tools for Purchase

• Examples: PropStream, BatchLeads, or DealMachine.
• Features: These paid tools provide access to off-market properties, sales history, and analytics.

Networking

Collaborate with real estate agents, appraisers, or local investors to get insights into comparable sales.

To select the best comps, consider the following criteria:

Location – Stay within the same neighborhood or within a one-mile radius while considering proximity to major landmarks, schools, and amenities.

Sale Date – Focus on properties sold within the last 3-6 months to reflect current market conditions.

Property Features – Look for properties with similar:

• • • Size (square footage)
    • Lot size
    • Number of bedrooms and bathrooms
    • Construction year
    • Features (e.g., pool, garage, finishes)

Condition – Ensure the comps are in a similar condition (e.g., fully renovated, distressed).

Type of Sale – Exclude foreclosures or short sales unless your investment strategy involves those property types.

• • • Average Price per Square Foot: Divide the sale price by the square footage for each comp.
    • Adjust for Differences: Account for differences in condition, upgrades, or amenities.
    • Market Trends: Be aware of rising or falling market trends that may affect values.

Hire a real estate appraiser or seek advice from a local real estate agent to confirm your valuation.

• • • Buy-and-Hold: Ensure the comps support long-term rental income potential.
    • Fix-and-Flip: Confirm after-repair value (ARV) aligns with comps.
    • Wholesaling: Validate that the price leaves room for a buyer’s profit margin.