Comparative Rental Analysis

A Comparative Rental Analysis (CRA) is an evaluation of comparable recently rented properties

Comparables are recently rented homes that are close in proximity, similar in size, room count and style to the subject property.

CRAs are used to get a sense of a fair market rental price to list the property for (when soliciting for a prospective resident), while trying to remain competitive to get the home rented quicker. Thus, generating more capital by reducing vacancy time.

How to Complete a CRA

In a CRA, the home you want to rent out is your Subject Property, and the rented homes to which you are comparing it to are Comparables. Homes of similar size, condition, age, and style for sale and that recently sold in a certain neighborhood. Preparing a CRA consists of three steps: ( See Video on this )

  1. Fill in all highlighted amenities (in yellow) in order to complete a CRA accurately.
  2. Set criteria: define the criteria for choosing comparable homes. Once you have created the NPO and filled in the amenities they will transfer over once you click. Once you click on “New CRA”.  
  3. Build your list of comparables: search MLS or internal leasing database for comparable homes that recently rented. Enter the mapgride for your subject property and search. If you have inventory then you can pull comps for within. If you don’t have any that area select external listing and then you can fill in the fields with data from the MLS.
  4. Make Proper Adjustments

Generate a New CRA from the NPO Form

Generate a New CRA from the NPO Form

From the New Prospective Owner (NPO) Screen:

  1. Fill in all Highlighted Fields under the Property Amenities and Utilities Column
  2. Then, Click SAVE
  3. Then Select New CRA from the Horizontal Navigation Bar at the top of the screen.

Set Criteria

Set Criteria

Select Comparables from Internal Resources

Select Comparables from Internal Resources

From the Comparable Rental Analysis (CRA) Screen:

After clicking Search based on the filled in criteria...

  1. Open the drop down list of Comparable Properties
  2. Select a Property from the list that generated
  3. Click Add From List for the Column you would like to add the Comparable data to.
  4. You can then select a Photo for the property from the drop down list
  5. Then, click SAVE

Select Comparables from External Resources

Select Comparables from External Resources

From the Comparable Rental Analysis (CRA) Screen:

After Searching the MLS or other External Sources based on similar criteria for the Subject Property...

  1. Open the drop down list of Comparable Properties
  2. Select a Property from the list that generated
  3. Click Add From List for the Column you would like to add the Comparable data to.
  4. You can then select Browse to select a photo you saved for the property from external sources
  5. Then, click UPLOAD
  6. Then, click SAVE

Make Adjustments

Make Adjustments

Adjustments are pre-calculated based on Amounts allocated in Set UP Click Here

Calculations are conducted to in order to equalize the factors of the Comparable Property to the factors of the Subject Property, based on amenities provided and thus determining the Subject Property Value.

ex. If the Subject Property has a Pool, but the Comparable Property does not, then a value of $75 is added to the rent value of the Comparable to bring it up to the same standard of the Subject.

ex. If the Subject Property does not have a Covered Patio, but the Comparable Property does, then a value of $20 is deducted from the rent value of the Comparable to bring it down to the same standard of the Subject.

  1. Adjustments can be modified for Comparable Property 1
  2. Adjustments can be modified for Comparable Property 2
  3. Adjustments can be modified for Comparable Property 3
  4. Click CALCULATE, to allow any manual adjustments to the report to take effect.
  5. Then, click SAVE

Note:

* Market Adjustment can be used to adjust each Comparable individually, based on any number of Factors that relate to the Market (Condition, Neighborhood, Demographics, Seasonal Factors, Days on the Market, etc.)

Report - Comparable Rental Analysis (CRA)

Report - Comparable Rental Analysis (CRA)

Report Navigation:

  1. Subject Property Address & Amenities
  2. Comparable Property 1 Address & Amenities
  3. Comparable Property 2 Address & Amenities
  4. Comparable Property 3 Address & Amenities
  5. Agreed Upon Rent Range (Start Rent, Low Rent & Average)
  6. Estimated Average Days to be on the Market
  7. Photos of Comparable Properties
  8. Conditions to Support Report Estimated Conclusions (Property Conditions & Resident Qualification / Lease Term)

Header & Footer Information:

a. Company Logo

b. Office Name and Contact information

c. Report Name

d. Parties of Report (Prepared For; Prepared By)

e. Date the Report was Run / Printed

f. Page Number of Report