Montgomery County comparable sales, more commonly referred to as “comps” in real estate lingo, are recently sold properties that are very similar to your property. Montgomery County comparable sales can be helpful tools to refer to when determining market value and deciding on a listing price for your Montgomery County home.
When researching Montgomery County comparable sales, consider the following factors:
You will want to look for Montgomery County homes with similar square footage to compare. However, understand that you can’t just double the price of a 1,000-square-foot home to determine a price for one twice its size.
The per square-foot cost is typically higher in smaller homes. You will want to compare houses within 10 percent of your property’s square footage.
Ask yourself if it is more desirable to have a small home on several acres or a large home on a zero-lot? While this can be a buyer’s preference, make sure you are factoring similar lot sizes into your Montgomery County comparable sales.
For best results, compare Montgomery County houses that are built within five years of your home. They should be similar styles, too.
So, if you have a multilevel structure, log cabin, Victorian dollhouse, or urban row house, compare to others with the same construction, when possible.
Whether a Montgomery County home is a fixer-upper or completely renovated is an important point to consider when using Montgomery County comparable sales. Also, look at what amenities the comparison property includes.
The most relevant Montgomery County comparable sales are going to be in your neighborhood. That being said, homes as far as a half-mile away are worth reviewing as well.
Keep in mind that if you are in a rural Montgomery County area, this distance will be considerably farther. Regardless, you will want to stay in the same school district for best results.
When reviewing Montgomery County comparable sales, you want to try and keep with the last three months. In some situations you can go back as far as six months, but understand that the more recent, the better.
When reviewing sold Montgomery County homes, you will also want to look at when the homes were listed. Understanding this information will give you an idea of how fast homes in the Montgomery County area are moving on the market.
In your research be sure to extend your parameters beyond just the closing price. By comparing listing and closing prices, you will see if Montgomery County sellers are being forced to reduce prices to generate interest or if many homes have had a bidding war due to low pricing.
While creating a bidding war for your Montgomery County home is ideal, you will want to make sure you are not leaving money on the table.
As you work to determine a solid listing price for your home, don’t limit yourself to only exploring previous comparable sales. Get a real-time look at the Montgomery County market by seeing what your direct competition is offering. These active listings, along with pending sales, can offer good insight.