Choose comparable sales by location, property type, and condition
A comparable sale, or comp, is a nearby home that sold recently and resembles yours enough that a buyer would consider it an alternative. In Ann Arbor or Dexter, that often means the same school district and a similar era of construction. Lot characteristics and condition should also be comparable. Two homes a block apart can be poor comps if one backs to a busy corridor or has a fundamentally different floor plan.
Comparable sales should establish a credible market range, not justify the highest available number. A lender's appraiser performs a separate, independent valuation under the requirements that apply to that assignment.
Local factors that affect the comparison
School district boundaries also cut across mailing addresses in this county. A home listed as Ann Arbor may be assigned to a different district than the comp around the corner, which can change buyer interest and value. Always verify the district assignment by address rather than assuming it from the neighborhood name.
Public records capture the sale price and basic facts, but they do not always capture seller concessions, condition, or the terms that made the price possible. The local multiple listing service may contain additional transaction information available to its participants, though no single record substitutes for reviewing the property and sale terms.
How to judge a comp
- Recency: newer sales may better reflect current conditions, while an older sale can still be useful when it is otherwise more comparable.
- Proximity: same neighborhood or school attendance area, not just the same ZIP code.
- Similarity: comparable bed and bath count, square footage, lot size, garage, and era of construction.
- Condition: a fully renovated home is not a direct comp for a fixer, even if the layout is identical.
- Terms: concessions, financing type, and closing date can all affect the effective price.
From value estimate to proceeds
A comp-based value is a starting point. The next question is what you keep after closing costs, commissions, and any tax considerations. Our home sale calculator walks through the cost side once you have a value range in mind.