Hi, experienced investors 🙂
I am in the process of analyzing the data for my mailer. As in the course described I select different types of land and get different property types like mobile home or residentials in the list too.
So I think it make sense to price them differently. When I look at the assesed value they are way higher than the lots with land use “vacant land”. How do you factor this in? If you care about this at all?
It also seems that with my filter criteria I get maybe to much of a variance which makes it harder to price.
Any thoughts are pretty welcome how do you handle such data glitches?
Marc – The easiest way to do a mailer is to pick a county with several thousand parcels that are all pretty much the same. Same type, same size, same value. You determine one offer price and send the mail. Done. You are trying to do something a bit harder. If the values vary a lot you have two choices. First, you can price your offer at 25% of the market value of the cheapest properties and shoot that price out to everyone. Sometimes you get a screaming deal when someone with a higher value property accepts the offer. Second, you can divide your list into different property types and price them out separately. You might have desert, SFR, and MH Zoned lots all on one list. If the values differ greatly you can then price each of these types separately. They can still all be in one mailer. You just have to do the pricing work for each one.