Using Comparable Homes When Selling Your Own Home

How to Find and Use Comparable HomesWithout any direction to go in, selling a Scott County home can seem very difficult. Choosing the price of a home is often the place where homeowners get hung up, especially if it’s their first time selling a home. A great place to start  with choosing the right price for a home is finding a comparable home, also known as a comp home or just a comp. Comp homes can be extremely helpful when selling a home, so it’s well worth a homeowner’s time to find one or more. Here is what homeowners need to know about finding and using comp homes when selling their own home.

For informational purposes only. Always consult with a licensed real estate professional before proceeding with any real estate transaction.

Advantages of Using Comp Homes

When someone is selling a home for the first time, it can be extremely difficult to come up with a fair price for a home, and there is a lot of extra pressure when overpricing or underpricing the home can cause a lot of damage. Looking for comp homes can give homeowners a more accurate idea of what a fair price for their home is without having to guess quite as much. Looking at comp homes is also helpful because buyers will typically be looking at those homes. Homeowners should be aware with the other homes on the market so they know what their home is competing with.

Where to Find Comp Homes

While homeowners can find comp homes on their own by searching online, the easiest way to find comps is by working with a trained real estate agent. Agents have access to a lot more resources for finding homes, so they can find comp homes much more efficiently. However, if the homeowner wants to try to find comp homes on their own to see what’s out there, then they should first try looking at the big multiple listing websites along with the website of the real estate agency they’re working with.

How to Choose a Good Comp Home

The ideal comp home is going to be similar to the home being sold. It should have the same number of bedrooms and bathrooms, and it’s even better if the home is in the same neighborhood. Ideally, the home should have sold recently—within the past few months is best to ensure the price is accurate. Try not to use a home that is currently on the market and hasn’t sold, because it’s difficult to tell if the home will actually get what the owner is asking for.

If the homeowner can’t find a comp home with the same number of bedrooms and bathrooms and the same square footage, they should prioritize the bedrooms and bathrooms when looking for a comp home. Bedrooms and bathrooms tend to influence price more than square footage, so homeowners should adjust the price after. Age is also another important factor when looking for a comp home. Try to find a home that is around the same age for even more accuracy.

Remember, using comparable homes is good for making price estimates, but finding a comp home isn’t a guarantee. Just because one person was able to sell their home for $200,000 doesn’t mean that every homeowner with a similar home will get that much. Be sure to work with a real estate agent, because they will help ensure the home is being priced fairly and accurately.

For informational purposes only. Always consult with a licensed real estate professional before proceeding with any real estate transaction.

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