Enter the property value, area, and location into the calculator to determine the comparable real estate values.
Real Estate Comps Calculation Formula
The following formula is used to calculate the comparable value of a property.
Comparable Value = Property Value / Area
Variables:
- Comparable Value is the value per square foot of the property ($/sq ft)
- Property Value is the total value of the property ($)
- Area is the size of the property (sq ft)
To calculate the comparable value, divide the property value by the area of the property. This provides an estimate of the value per square foot, which is essential for comparing real estate properties in different locations and sizes.
What is Real Estate Comps Calculation?
Real estate comps calculation refers to the process of determining the value of a property by comparing it to similar properties in the same area. This method helps in assessing the market value of a property, considering factors such as location, size, and condition. Real estate comps are crucial for buyers, sellers, and investors to make informed decisions.
How to Calculate Real Estate Comps?
The following steps outline how to calculate real estate comps using the given formula.
- First, determine the total value of the property.
- Next, measure the area of the property in square feet.
- Use the formula from above: Comparable Value = Property Value / Area.
- Finally, calculate the comparable value by dividing the property value by the area.
- After inserting the variables and calculating the result, check your