Due Diligence

A thorough due diligence process is necessary to ensure that the property we acquire on your behalf meets our investment criteria and more importantly sells for the price we expect.

How we make sure the property will sell for the price we project

Our comparative market analysis goes far beyond a traditional MLS comp analysis.  We use two additional databases to achieve the maximum number of comps to review and we review more comps than many appraisers.

Our proprietary Discovery Software™ goes even further.  After arriving at the absolute value of the property, we then compare the property to the housing stock in the surrounding area.  We received three patent pending status approvals for its unique analytical algorithms. We all know that a house can be overbuilt for the area or have too small of a lot relative to what people want in that community. The Discovery Software™ will flag this as an issue.

How we make sure our renovation budget is accurate

First, we conduct a full home inspection to identify things that do not work—AC unit, water heater, electrical outlets, etc.

Then we send in our contractors to estimate the rest of the job.  Pink carpet, for example, is not a functionality problem but could prevent the house from selling quickly.  Our goal is to avoid problems that would require costly renovation such as structural problems or a poor floor plan.  We also take into consideration problems that could be time consuming to fix such as a poorly wired house or galvanized piping that has reached the end of its useful life. 

Checking the Neighborhood

Ultimately, someone has to live in this property either as a renter or as a homeowner.  So we look for issues that might diminish the property’s appeal such as graffiti nearby, proximity to a busy street, or noise pollution.  We also review quality of life data such as crime rate statistics and Megan’s Law reports.