Jesus Gabriel Mendez walks through underwriting properties in rural markets where comparable sales are scarce. Extend your search date range in PropStream or BatchLeads, adjust old sales for current conditions, then fall back to realtor.com or Redfin to calculate an average value. If that fails, call local realtors and investors who know the market informally.
When you're not going to find comps is something that's super outside of a metro market. I'm talking about buttfuck town. Now, what you can do on any software that you use, you can use PropStream, BatchLeads, whatever you're using to run comps, you just go back on the dates and try to stay in the same area. So maybe on PropStream you won't have anything for the past year from August now to previous August, you won't have anything. Pull back the timeline. Obviously the comps aren't going to be as accurate as far as the sales price and what people are purchasing properties for from back then. You got to adjust it to the market currently. That will also help because you're going to get something instead of just not having anything. Now, if on these websites you don't see anything, that just goes to show you, hey, it's either a non-disclosure state or just not much action in the actual market. So what you can do if nothing pops up on the software is just go based off realtor.com, redfin.com, Trulia, and then take the average of what those websites are giving you as far as the average value and take that as the ARB. And then if that doesn't work out, then just call a bunch of realtors in the area, talk to investors that you see have bought maybe even 5 years ago. That's like the newest comp you can find, or construction companies like Normally those people have the network. Most of the time, realtors will be able to help you to get some sort of understanding of what the price point should be at.
