How to use comparables or "comps" for proper pricing

The following websites are great resources to research to find like kind comparable sales or “comps” in your residential area to determine proper pricing.

Note: Many websites require a small fee for their services, while others may be free.

Pay Services: Real Quest, Property Shark and Street Easy

Real Quest:
Offers a complete comparable or “comps” service for New York City, Queens, Brooklyn and Long Island.
http://www.realquest.com/jsp/rq.jsp?action=switch&page=main

Property Shark: - 6 Free Reports
Offers a complete comparable or “comps” service for New York City, Queens, Brooklyn and Long Island (Nassau and Suffolk)
www.propertyshark.com

Street Easy:
Offers a complete comparable or “comps” service for New York City, Queens and Brooklyn.
www.streeteasy.com

Free Services: Access New York Department of Finance government affiliated websites.
Offers free comparables or “comps” service (LYTD) for New York City, Queens and Brooklyn.
http://www.nyc.gov/html/dof/html/property/property_val_sales.shtml

Offers free comparables or “comps” service for Long Island (Nassau County).

Tip: Just put in the house address you are interested in and select comparable sales tab.
http://www.nassaucountyny.gov/mynassauproperty/main.jsp

Note: You need to access the individual town’s assessor website for free comparables or “comps” for Suffolk County.



Examples – Using comparable sales or “comps” to obtain like kind comparables.

Apartment – Compare residential units that have sold in the building within the same “apartment line” as your apartment.

Ex: You own residential unit “5A” – the best comparables come from “A” line apartments with the same layout as yours. Researching in this matter is the only way to get a “true” or accurate price and will ensure proper pricing of your residential area.If no comparables exist, the seller should then utilize “comps” from inside the building in other “apartment lines” that are similar to his or her residential unit – such as its features and exposure.

Fact: Researching comparables inside the respective building is the most proficient method to ensure proper pricing as each building has its own selling “power” and selling price determined by many factors.

Researching comparables outside a respective building is an inefficient method due to various differences in buildings and selling levels that are “outside” the comprehension on how “comps,” relate.
Also: Always remember to factor in the condition of the apartment, as this is vital aspect to ensure proper pricing. Analyze all aspects and details carefully.

Ex: You own residential unit “5A” - upgrades need to be made to your kitchen and bathroom. After researching, unit “6A” was in great condition and had the exact same layout as yours when it sold for $600K last month. In order to properly price your residential unit effectively today, you need to discount these upgrades off the $600K asking price. Get an estimate in writing from a local contractor to determine what this discount should be

Townhomes and houses – Compare similar styles, location areas and property sizes.
The most precise comparable for proper pricing would be a residential space with similar styles and property sizes on the same street. Pay close attention when researching comparables. Did this property have renovations done? Additions?

In some instances, the seller might find comparables very similar to their townhome or house after researching online but is unable to find any information regarding the “condition” of the property when sold.

Tip: 1) Research who sold the property last. 2) Create a free e-mail account either with Yahoo or Google – Just provide your name during sign-up. 3) E-mail the respective person and ask if he or she can provide some detailed information regarding the property.