When To Get Comps, Before Or After Inspection?

[Deleted member 134708]

You in the shoes of a homeowner. As in you are the homeowner getting a collateral loan.

A) The appraiser that came to my house was great, they picked sales before they even came to my house. They had a crystal ball I guess.

B) The appraiser that came to my house was great. Their crystal ball was so broken, they did the major part of the report in a coffee shop to save them time.

C) The appraiser that came to my home didn't know anything about it when they showed up. I went over all the details with them and history I was aware of. I "showed" them my home. They went back to their desk and wrote a 40 page report with a cover letter, table of contents and all.

 

[Deleted member 134708]

I am confused, what did I say? I don't believe I said I was doing short cuts because I have to go back out to retake photos. I try to figure out what I want to use, but it never manages to work out, because unless I develop the entire analysis beforehand, something else will surface. So, lost here.

I deeply apologize. Your post was fine. I just grabbed your "quote" out of context. Sorry.

I was just aiming at your quote and trying to apply it to general appraisers. Never meant to call you out as you went on to say...

Sorry. You are 100% ok in my book.

 

[Walter Kirk]

Is it OK to use comps that run into a different zip code?, for another city that's similar, due to lack of comparable within the subjects zip code?

Zip codes, with a few notable exceptions, have no effect on value. If you can't find enough comps in your subject's immediate neighborhood you should look in the nearest competing neighborhoods. By this I mean neighborhoods which have similar characteristics to the subject's neighborhood. These competing neighborhoods may be in a different municipality, school district, county or even state. Do not let the dictates of a client or AMC influence your professional judgment.

 

[devin]

Zip codes, with a few notable exceptions, have no effect on value. If you can't find enough comps in your subject's immediate neighborhood you should look in the nearest competing neighborhoods. By this I mean neighborhoods which have similar characteristics to the subject's neighborhood. These competing neighborhoods may be in a different municipality, school district, county or even state. Do not let the dictates of a client or AMC influence your professional judgment.

Thanks, just need to make sure I comment. I swear some of these stips, from these AMCs .Thank God for this forum and the great people here that share ideas, give good info and educate.

 

[Dublin ohio]

You in the shoes of a homeowner. As in you are the homeowner getting a collateral loan.

A) The appraiser that came to my house was great, they picked sales before they even came to my house. They had a crystal ball I guess.

B) The appraiser that came to my house was great. Their crystal ball was so broken, they did the major part of the report in a coffee shop to save them time.

C) The appraiser that came to my home didn't know anything about it when they showed up. I went over all the details with them and history I was aware of. I "showed" them my home. They went back to their desk and wrote a 40 page report with a cover letter, table of contents and all.

D) I don't care. I got my loan

 

[Terrel L. Shields]

Comp selection varies, so if I have say, 24 sales in a small town between 1800-2200 sf w. subject 2000sf, I can look on county records and see how they compare. With the field card I get Q and age, SF, and a pix in most counties I work. Might do a quick MLR on 24. So if all were similar, I'd probably pare back the oldest and furthest away cut back to 4 or 5 and look at them. More than 50% +- difference age is my cut off...(10year old looking at 5-15 year old houses) If over 30+- yr. then condition trumps physical age. Once down to 3-5 comps, I run sensitivity analysis. No step for a stepper...

 

[J Grant]

Is it OK to use comps that run into a different zip code?, for another city that's similar, due to lack of comparable within the subjects zip code?

Zip codes are postal codes for mail delivery or used for census bureaus. Comps are the properties that a buyer for subject would consider as a substitute, most buyers do not choose a home by zip code. ( a prestige zip code area might be the exception)

 

[Terrel L. Shields]

used for census bureaus.

Our census maps don't match zip codes, strictly Post Office creation.

 

[Deleted member 80407]

I have been getting comps before the home inspection. Normally I get comps that are in C4 condition, unless there is a recent listing of the subject property in MLS, and shows that the subject is in C3 or better. It is safe to assume that most properties are in C4 condition in my opinion, unless stated otherwise.

What's your opinion? And/or how do you do it?

I have always taken more comp photo's than needed. Some times as many as 12 sales and 4 to 5 listings. Rather spend a little more time in the market at time of inspection rather to re-visit the market after the inspection.

 

[Vermonter]

I will pull obvious similar sales prior to inspection if I have enough info on the subject. That being said, even with a current listing I rarely have enough info to accurately pick final comps prior to inspection. Considering the distance to comps in most of my coverage area, it's actually more efficient to make 2 trips.

I cover 1 county, most of my work is in just 8 towns and have 2 weeks turn time minimum. I typically stack inspections 2 or 3 days a week. Write those reports and then drive the comps the next time I'm in the area inspecting the next batch....so it's not really a second trip.

I've tried it both ways and this is what works for me....ymmv.