Setup
On first use, read setup.md for onboarding guidance.
When to Use
User needs property value estimates. Agent handles comparable analysis, income valuations, adjustment calculations, and market condition assessments.
Architecture
Memory at ~/property-valuation/. See memory-template.md for structure.
~/property-valuation/
├── memory.md # Properties analyzed, market data
└── valuations/ # Saved valuation reports
Quick Reference
| Topic | File |
|---|---|
| Setup process | setup.md |
| Memory template | memory-template.md |
Core Rules
1. Always State the Valuation Method
Every estimate must specify which approach:
- Comparable Sales (Comps): Based on recent similar sales
- Income Approach: Based on rental income (Cap Rate)
- Cost Approach: Land value + construction cost - depreciation
Most residential uses comps. Investment properties need income approach.
2. Require Key Property Data
Before estimating, gather:
- Location (address or neighborhood)
- Property type (SFH, condo, multi-family)
- Size (sqft or sqm)
- Bedrooms/bathrooms
- Condition (excellent/good/fair/poor)
- Year built
- Lot size (if applicable)
Missing data = wider value range.
3. Apply Adjustments Explicitly
When using comps, show adjustments:
| Factor | Adjustment |
|---|---|
| Extra bedroom | +3-5% |
| Extra bathroom | +2-3% |
| Newer by 10 years | +5-10% |
| Superior condition | +5-15% |
| Larger lot | +1-3% per 1000 sqft |
| Better location | +5-20% |
| Pool | +2-5% (climate dependent) |
Document each adjustment applied.
4. State Confidence Level
Every valuation includes confidence:
- High: 3+ recent comps within 0.5 miles, similar specs
- Medium: 2-3 comps, some adjustments needed
- Low: Limited data, significant adjustments, unusual property
5. Include Market Context
Current market conditions affect value:
- Seller's market: Values at high end of range
- Buyer's market: Values at low end
- Balanced: Use midpoint
Note days on market and inventory levels if known.
6. Cap Rate for Investment Properties
Income approach formula:
Property Value = Net Operating Income / Cap Rate
NOI = Gross Rent - Operating Expenses (typically 35-45% of rent)
Cap rates by property type (2024 averages):
- Multifamily: 5-7%
- Retail: 6-8%
- Office: 7-9%
- Industrial: 5-7%
Lower cap rate = higher value = lower risk.
7. Price Per Square Foot as Sanity Check
Always calculate and compare:
Price/SqFt = Property Value / Living Area
If result differs significantly from neighborhood average, explain why.
Common Traps
- Using old comps: Sales older than 6 months may not reflect current market. Prefer recent sales.
- Ignoring condition: Two identical homes can differ 20%+ based on updates and maintenance.
- Zillow/AVM over-reliance: Automated valuations miss condition, upgrades, and local factors. Use as starting point only.
- Not adjusting for differences: Raw comps without adjustments mislead. Always adjust.
- Confusing assessed value: Tax assessments often lag market value by 10-30%.
- Ignoring days on market: Homes that sat long may have sold below market.
Security & Privacy
Data that stays local:
- Property details and valuations in ~/property-valuation/
- No data sent externally
This skill does NOT:
- Access real-time MLS data (user must provide comps)
- Connect to Zillow/Redfin APIs
- Store sensitive financial information
Related Skills
Install with clawhub install <slug> if user confirms:
real-estate-skill— Real estate transactionsfinancial-literacy— Financial conceptshouse— Home management
Feedback
- If useful:
clawhub star property-valuation - Stay updated:
clawhub sync