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What risk flags mean

Risk flags are the report's way of saying "check this before you commit." They don't kill a deal by themselves — they tell you which assumptions deserve extra scrutiny before you decide.

Common flags

Flags surface anything in the data that could undermine the analysis or the exit.

  • Thin comps — too few recent, nearby sales to anchor the ARV confidently
  • Negative spread — asking price sits above what the offer math supports
  • Heavy rehab — condition signals suggest a larger scope than average
  • Stale listing — long days-on-market can mean a stubborn price or a hidden issue
  • Data gaps — a key field (sqft, beds, condition) couldn't be verified

How to respond to a flag

Each flag maps to a verification step you can do in minutes: pull up the comps yourself, look at the photos again, check the county record, or drive the street. The flag tells you where your due-diligence time is best spent.

Flags vs. the verdict

A strong verdict with flags means the numbers work if the flagged assumptions hold. A weak verdict with no flags means the data is solid and the deal simply doesn't pencil. Read them together.

Key Takeaway

Risk flags are the report's way of saying "check this before you commit." They don't kill a deal by themselves — they tell you which assumptions deserve extra scrutiny before you decide.

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