Quiz: Comping Module - Test Your Knowledge

12 Questions

Test your comping and valuation knowledge

Passing Score: 10 out of 12 correct (83%)

1. What is the ideal time frame for sold comps?

A) Within 6-12 months B) Within 90 days (180 days max in slow markets) C) Within 30 days only D) Any time within the past year

2. A comp sold for $240,000 and has a 2-car garage. Your subject property has a 1-car garage. How do you adjust?

A) ADD $10,000 to the comp B) SUBTRACT $8,000 from the comp C) No adjustment needed D) ADD $5,000 to the subject

3. What's the typical value adjustment for a full bathroom?

A) $3,000 - $5,000 B) $8,000 - $12,000 C) $15,000 - $20,000 D) $20,000 - $25,000

4. Should you use active listings or sold data for comping?

A) Active listings - they show current market expectations B) Sold data only - listings don't reflect actual market value C) Mix of both equally D) Doesn't matter

5. Your comp is 1,800 SF and sold for $270,000. Your subject is 1,600 SF. Market rate is $75/SF. What's the adjusted comp value?

A) $270,000 (no adjustment) B) $255,000 (subtract $15,000) C) $285,000 (add $15,000) D) $240,000 (subtract $30,000)

6. What's the ideal geographic radius for finding comps?

A) 5-10 miles B) 0.5 miles (expand to 1 mile if needed) C) Same ZIP code only D) Within 100 feet

7. What's the typical adjustment for a fully renovated property vs average condition?

A) $10,000 - $15,000 B) $30,000 - $60,000 C) $80,000 - $100,000 D) $5,000 - $8,000

8. How many comps should you ideally use for a solid valuation?

A) 1 comp is enough B) At least 3-5 comps C) 10+ comps required D) 2 comps minimum

9. Can you trust Zillow Zestimates as your final ARV?

A) Yes, they're highly accurate B) No, use as starting point but verify with actual comps C) Never use Zillow at all D) Only trust Redfin estimates

10. ARV = $300K, Repairs = $50K. What's the MAO using the 70% rule?

A) $210,000 B) $160,000 C) $250,000 D) $180,000

11. What's the typical value of a swimming pool in hot climate markets (TX, GA, FL)?

A) $40,000 - $50,000 B) $10,000 - $20,000 C) $2,000 - $5,000 D) Pools decrease value

12. When in doubt about your ARV estimate, what should you do?

A) Use the highest comp to maximize profit B) Be conservative and use lower end of range C) Guess and hope for the best D) Use the average of all estimates

Instructions: Answer all 12 questions. Aim for 10+ correct to pass. Review the Comping module lessons if needed.

1. What is the ideal timeframe for comparable sales?

A) Within the last 12 months B) Within the last 6 months C) Within the last 90 days (ideal: 30-60 days) ✓ D) Doesn't matter as long as they're similar properties

2. If a comp has an extra bedroom compared to your subject property, what adjustment should you make?

A) Add $10K-$15K to the comp's sold price B) Subtract $10K-$15K from the comp's sold price ✓ C) No adjustment needed D) Ignore that comp and find a better one

3. What's the typical value adjustment for square footage in standard markets?

A) $20-$40 per square foot B) $60-$90 per square foot ✓ C) $100-$150 per square foot D) $150+ per square foot

4. What is the biggest mistake when comping properties?

A) Using too many comps B) Ignoring condition differences between comp and subject ✓ C) Focusing too much on square footage D) Being too conservative with ARV

5. Should you use active listings (asking prices) as comps?

A) Yes, they show current market prices B) Yes, but only if there are no sold comps C) No, only use SOLD comps for valuation ✓ D) Only use active listings, sold comps are outdated

6. How much value does a fully renovated property typically add vs. average condition?

A) $5,000 - $15,000 B) $15,000 - $25,000 C) $30,000 - $60,000+ ✓ D) $80,000 - $100,000+

7. What's the maximum radius you should search for comps in most cases?

A) 0.25 miles B) 0.5 - 1 mile ✓ C) 2-3 miles D) 5+ miles is fine

8. You have 5 comps with adjusted values: $215K, $222K, $218K, $205K, $230K. What ARV method is most conservative?

A) Simple average ($218K) B) Use the highest value ($230K) C) Range analysis: remove $205K outlier, use $215K-$220K ✓ D) Weighted average giving most weight to $230K

9. How much does a 2-car garage typically add in value?

A) $3,000 - $6,000 B) $10,000 - $15,000 ✓ C) $20,000 - $25,000 D) $30,000+

10. When should you be most cautious about pool value?

A) In premium neighborhoods B) In hot climate states like TX and GA C) In budget neighborhoods where maintenance costs may outweigh benefits ✓ D) Never, pools always add value

11. Can you rely on Zillow Zestimates for ARV calculations?

A) Yes, Zillow is always accurate B) Yes, but only for distressed properties C) No, use Zillow to FIND comps but always analyze sold comps manually ✓ D) Never use Zillow at all

12. What's the golden rule when choosing your final ARV?

A) Always pick the highest comp value to maximize profit B) Split the difference between high and low C) Always be conservative and round down when in doubt ✓ D) Use whatever number makes the deal work

Comping & Valuation Quiz

12 Questions

Submit Your Quiz