METHODOLOGY

Comparable Sales Methodology — How Comps Are Selected | Reaixo

The selection criteria, weighting and adjustments behind every comparable-sales-based estimate on Reaixo.

Reaixo6 min readUpdated Aug 22, 2026

Comparable sales — "comps" — are the foundation underneath nearly every value-related estimate Reaixo produces, from a home value range to an offer-price scenario to evaluating whether an asking price holds up. This page explains how they're actually selected and used.

What Makes a Sale "Comparable"

  • Property type — single-family, twin, condo, etc. matched to the subject property, not mixed across types.
  • Size — similar square footage, since price scales with size but not always linearly.
  • Age and construction era — homes built in a similar period tend to share systems, layouts and finish expectations.
  • Location — same immediate area, ideally the same school district and comparable access to amenities.
  • Condition — renovated vs. original, to the extent that information is available.
  • Recency — how close the sale date is to today, with more recent sales weighted more heavily.

No single factor determines a match on its own — a strong comparable scores well across most of these criteria, not just one or two.

Closed Sales Over Active Listings

ℹ️
Sold data reflects reality; active listings reflect hope
A closed sale is evidence of what a real buyer actually paid under real financing and negotiation conditions. An active listing is only evidence of what a seller wants — plenty of listings sit unsold at a price the market ultimately rejects. Reaixo prioritizes closed sales and treats active listings as secondary context at most.

Recency and Weighting

Markets move. A comparable sale from the last 60-90 days generally carries more weight than one from a year ago, particularly in a market where prices are shifting quickly. When recent, closely-matched sales are scarce, the model widens the search radius or time window rather than relying on a single thin data point — but flags the resulting estimate with lower confidence.

What Happens After Comps Are Selected

Selected comparables feed into an adjustment process — for size, condition, age, lot and specific features — that produces a final value range. See the Home Value Methodology page for exactly how those adjustments combine.

Limitations

In markets with very few recent sales, or for properties with unusual features that don't have a good comparable match, confidence is necessarily lower — no methodology can manufacture data that doesn't exist. That's exactly the kind of situation where a licensed appraiser's in-person judgment adds the most value.

Related Articles

Frequently Asked Questions

What makes a sale "comparable"? +

A true comparable matches on the factors that actually drive price: similar square footage, similar age or renovation era, similar condition, a similar lot, the same school district or immediate area, and the same property type — a single-family home isn't a reliable comparable for a twin or a condo, and vice versa.

Why do closed sales matter more than active listings? +

A closed sale reflects what a real buyer actually agreed to pay under real financing and negotiation conditions. An active listing only reflects what a seller hopes to get — and it's common for listings to sit unsold at a price the market ultimately rejects.

How recent do comparable sales need to be? +

The more recent, the better — a sale from the last 60-90 days tells you more about current conditions than one from 18 months ago, especially in a market that has since shifted. Where recent data is thin, older or more distant sales are used but weighted less heavily.

How many comparable sales are ideal? +

Generally at least three to five genuinely similar recent sales. Fewer than three makes it hard to tell whether any single sale was typical or an outlier; in markets with limited recent activity, the radius or time window may need to widen.

How are differences between comparables and the subject property handled? +

Through adjustments — for size (price-per-square-foot basis), age and condition, lot and location, and specific features like a garage or finished basement. See the Home Value Methodology page for how these adjustments combine into a final estimate.

See Comparable Sales Applied to a Real Property

Get a Home Value Report with the actual comparable sales, adjustments and confidence level for an address.