abohlig 0 Report post Posted March 18, 2005 Hello Everyone, I am still working on my first deal. Even though it is taking me a while, I am still determined to make this happen. I am talking to someone who has advertised their house as FSBO. Obviously their first choice is to sell the house outright, but they have expressed that they might be open to a SLO. They wanted to deal just with me and not another unknown as in a CA. I would do a SLO, but might also consider a straight purchase if the numbers were right. I have already looked at comps in the area, but I would like to be a bit more sure of what an appraisal would come back at, especially if I do a straight purchase. I know that there are probably a thousand places on line to get this done. Does anyone know of a good one that they have had good experience with? I know it will be somewhat of an approximate, but I am looking for someone who is relatively cheap (less than $20) and will not come out to the home. Alan Share this post Link to post Share on other sites
abohlig 0 Report post Posted March 18, 2005 Ok, I just did some Googling and when I put in Automated Valuation Model one of the names that I got was Data Quick. For a link to their site click Here I just got off the phone with the sales rep for DataQuick. She told me that they have 2 valuation products. #1 costs $5/report and just gives 20 closest sales and then leaves it up to you to come up with a value. The second service costs $17/report and gives you an actual value. She claims that Wells Fargo, Washington Mutual and B of A among others use this service. One catch is that they require an annual subscription. At minimum, they require you to spend $75/ month. She is faxing me a sample and mailing me more info. I remember this name being mentioned on the last teleconference. Does anyone have any experience with them? Alan Share this post Link to post Share on other sites
Kimberly 0 Report post Posted March 18, 2005 That's who (DataQuick) Michael has frequently recommended in past posts. However, I've never used their service. Share this post Link to post Share on other sites
-Tony- 0 Report post Posted March 18, 2005 Just remember these are not apraisles they are comps.... Other then that I can't help you cause we can't get bloody data quick ect.... Just the good old B of A I use to use fargo's but they changed it Share this post Link to post Share on other sites
Adam King (MI) 1 Report post Posted March 19, 2005 Alan,I would get a good appraiser on my team. When you can give them enough business, they will do the comps before the appraisal. And if you don't need them to do an appraisal on all of your properties, then you get the comps for free. Having a Realtor is nice, but I would take an appraiser over a Realtor any day of the week.Regards,Adam Share this post Link to post Share on other sites
abohlig 0 Report post Posted March 19, 2005 I have several samples from them and it looks pretty good. For $17 it IS an appraisal, not just comps. Obviously it is not the same as having an appraiser come out to the property, but it is not $300 either. I know that $17 is not free, but if this is what the banks are using it should give a pretty good idea of an approximate appraisal. I think that I am going to start using this. It seems to me that 1 mistake could easily cost me thousands and I can have a lot of $17 appraisals for that. Also it gives me a lot more confidence especially if I am doing an SLO or straight purchase. Alan Share this post Link to post Share on other sites
Adam King (MI) 1 Report post Posted March 21, 2005 Alan,You get what you pay for. If I was paying $17 for an appraisal, I might as well talk a Realtor in doing comps for free. If you're going to pay over $300 for an appraisal (Which I do), then you're serious about the deal and you've already put your ducks in a row in order to close.Just my two cents,Adam Share this post Link to post Share on other sites
JCannon 0 Report post Posted March 21, 2005 I know a proper appraisal is necessary when actually purchasing a property for a deal, but when doing a L/O shouldn't a handfull of recent comps give you a good enough idea of what the numbers should be? I don't think you need to be dead-on to make a L/O work. I may be wrong, but there is wiggle room of around 0 - 2% as long as the numbers work according to the market's appreciation rates. If you set up a L/O under contract for $318,000 (NET to seller in 1yr) but you later find out the homes CMV is $295,000, your only in trouble if the house appreciates less than 8%. IF it does, you shouldn't have gotten into the deal in the first place at that price... , on a SLO you would pass on this seller, but for a CA it can work, if you can find a T/B that doesn't mind having no equity at the time of purchase....am I still typing......? What do I know anyway..... Share this post Link to post Share on other sites
Alan (NYC) 0 Report post Posted March 21, 2005 On a SLO, I definitely would hire an appraiser and get as much precise info as I can on the property. If my intention is to make money on the front end, and especially big money on the back end, I would want to know what I can expect since I'm putting myself at risk as the middleman. On a CA, comps from a quality source would be sufficient enough to market the property effectively. However, as Adam said, if you can develop a relationship with an appraiser and rely on his expertise for all your valuations, that definitely is a step up in obtaining quality and current information on your properties. Share this post Link to post Share on other sites
abohlig 0 Report post Posted March 21, 2005 Adam and Others, I agree that on a CA comps should be sufficient. What about on a SLO or a straight purchase. Would you make an offer just based on Comps alone? I have free access to comps. These can be pretty vague and a wide range. Seems to me I would want a better idea of where the appraisal would come in before I make an offer. It also seems to me that it might be worth the $17 to get a pretty good idea BEFORE making an offer. I will gladly then pay the $300 once we are further down the road with an agreement in place. Am I way off base here? Alan Share this post Link to post Share on other sites
Adam King (MI) 1 Report post Posted March 21, 2005 Alan, Would you make an offer just based on Comps alone? I have free access to comps. I don't make offers before I get an appraisal. I make an offer based on my knowledge of the market and it's comparables. I get an appraisal to validate that information. If the appraisal comes lower, my offer drops too.You're not off base, you're just trying to be conservative and that's okay. Nothing wrong with that.Regards,Adam Share this post Link to post Share on other sites
MichaelC 160 Report post Posted March 21, 2005 Alan, sorry for the late foray into this interesting thread you started. (Another hot summer weekend here in south Florida. An unexpected visit to my neighbor led to an impromptu block party. The rest is part of the public record now which can be had from the Sheriff's office. )My feeling is that you'll quickly go broke if you're paying $300 for an appraisal each and every time you have an interest in a property. With some experience under your belt, you'll soon know property values well enough so as not to need to go that route.In the meantime, I advocate one of several for-a-fee services that can give you the exact data that appraisers and Realtors use. The best among them was the company you have already noted: Data Quick. However, they have recently overhauled their website and their products. It seems they no longer offer the individual CMA's for $9.95 as they once did. Too bad, because they were excellent. Their website now is bloated, slow, and confusing.However, there are a few other sources with the same info. You can try Smart Home Buy, where for as little as $4.95 you can get your CMA. You can also try First American Real Estate Solutions. They, too, are a giant in the industry, and offer comps for the individual. Share this post Link to post Share on other sites
Adam King (MI) 1 Report post Posted March 22, 2005 I don't make offers before I get an appraisal. Holly crap, what was I saying!?!?! (I was up until 7AM this morning, does it show? ) I meant....I don't get an appraisal BEFORE I make an offer. I make all of my offers based on my knowledge of the market etc. THEN I'll get an appraisal!Also, I only get appraisals on cash deals. NOT lease options!I'm going to bed....really. Adam Share this post Link to post Share on other sites
MichaelC 160 Report post Posted March 22, 2005 I don't make offers before I get an appraisal. Holly crap, what was I saying!?!?! (I was up until 7AM this morning, does it show? ) I meant....I don't get an appraisal BEFORE I make an offer. I make all of my offers based on my knowledge of the market etc. THEN I'll get an appraisal!Also, I only get appraisals on cash deals. NOT lease options!I'm going to bed....really. Adam<{POST_SNAPBACK}>7:00AM?! Was Jason in town again, with a few of his new found, uh, friends that he just met earlier in the evening? You know, Trixie and Fast Suzy? Share this post Link to post Share on other sites
-Tony- 0 Report post Posted March 22, 2005 if you can find a T/B that doesn't mind having no equity at the time of purchase So, it would be just like if they bought it conventional? The only equity they would have is the option money taken off the purchase price..... I meant....I don't get an appraisal BEFORE I make an offer. I make all of my offers based on my knowledge of the market etc. THEN I'll get an appraisal!Also, I only get appraisals on cash deals. NOT lease options! I was hoping you meant that and I agree I want to know 4 things 1. how much2. motivation (can I get it less then FMV)3. what comps are4. How much can I get from a t/b Share this post Link to post Share on other sites
