Why Get a Comparative Market Analysis - CMA

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Comparative Market Evaluation
In this highly active market, it is hard to know where the true value of your property lies.  If you have been wondering what your property is worth, simply fill out the form below, and I can perform a "drive-by" assessment of your property. There is no obligation,  and no cost for this service.  Simply complete the form below (at the bottom of this page) and send it in to me,  and I will call you or send an e-mail to you with an estimate as to the value of your property.  It´s as simple as that!

Also there is a helpful site -
www.zillow.com  where you can get an instant "value"
.

A comparative market analysis is an informal estimate of market value, based on sales of comparable properties, performed by a real estate agent or broker. .It is not an appraisal of value but an estimated value of what your home is worth based on recent home activity in your market usually within the last 6 months. Unlike an appraisal, a CMA takes into account the current market and competition, not just past sales. The agent uses the MLS to find homes similar in such things as style, square footage, rooms, bedrooms, age, construction and amenities. Your real estate agent will be happy to provide this analysis. Most agents offer free analyses in the hopes of winning your business.

This analysis provides the background data on which to base your list-price decision. You also can research "the comps" yourself by checking on recent sales in public records. Be sure that you are researching properties that are similar in size, construction and location. This information is not only available at your local recorder's or assessor's office but also for a fee through private companies that specialize in real estate data and on various real estate Internet sites.

Study the comparable sales material presented to you by the different agents you interviewed initially. If the analyses are more than two or three months old, have your agent update the report for you. If all agents agreed on a price range for your home, go with the consensus. Watch out for an agent whose opinion of value is considerably higher than the others.

A Comparative Market Analysis will provide you with the information you need to set a value on the home you own. CMAs are written reports comparing the prices of recently sold homes that are similar to yours in terms of location, style and amenities. CMA's often include information on properties currently for sale plus the properties which failed to sell.
 

Knowledge is power!

A CMA, or comparative market analysis, is a report that provides all the information you need to make an informed decision as to how much you should list your property for in today's market. It should also give you an anticipated range for the final selling price.

It is best to get your CMA AFTER a qualified professional agent does a walk-through of your home. That way, you will know that your agent can properly compare your property to others in your neighborhood. The CMA will contain information on properties that are comparable to yours that have sold in the last 6 months, properties currently on the market, and properties that have expired before being sold. It is not an appraisal.

When you call to list your property, an agent should meet you at your home so that he can gather the information needed to prepare the CMA and to take measurements of the rooms. At that time he also can review any Marketing Agreements that he offers and answer any questions you may have. After the initial meeting, you should receive the CMA within a day or two.

A CMA contains recent market information on properties similar to yours that are:

  • Active - These are properties similar to yours that are currently available for sale. These are the homes you will be in direct competition against for the buyer's attention. Take note however,that some of these homes are likely to expire. - and if you price your home in consideration that everyone of these homes are priced competitively, you'll probably end up pricing your home too high
  •    
  • Expired - These are homes similar to yours that have recently expired. That is, they failed to sell within the listing period (typically 3-4 months). These homes will give you an indication of what is likely too high a price to list your home.
  • Sold - These homes are similar to yours and have recently sold. These homes will provide you the clearest indication of exactly how much you should list your home for in today's market. They are a track record of proven successes. They also provide excellent insight as to how much your property will likely sell for and how long it will take.

When any real estate agent assigns a value to your home, you deserve to know how and why they have come to that conclusion. Why? It is important because different agents use different strategies to get your listings. If you choose the agent who quotes you the highest value, you may be doing yourself an incredible disservice.

Your home has a value to a buyer. Buyers shop around and compare values. With that understood, I will show you how to get the highest value out of your house possible.

Every real estate transaction must be supported with detailed, documented, statistical data about real estate transactions in the area. As part of our Comparative Market Analysis, we provide:

  • A complete list of real estate sales, including private sales, on the subject property´s street
  • A complete list of similar properties that have sold in the area.
  • A complete list of similar properties currently on the market in your area
  • A computer-generated Comparative Market Analysis showing, among other details, the average asking and selling price for similar properties in the area
  • A summary page, incorporating all the data we have compiled for your consideration, in a concise and easily understood format.
  • A recommended listing and possible sale price for the property

Expireds: Out of Range
Up to 35% of all homes put on the market don´t sell. The prices at which these homes expired represent the "out of reach" price. If you price there, then yours will also expire.

For Sale: Upper End of Range
These are asking prices only. They have not been attained in the market. Examine the number of days on market and if it has been a long time, the homes are priced too high.

Solds: Lower End of Range
These are actual sale prices and are your best evidence on which to base your pricing decision. Assuming the homes are similar to yours, you should be able to obtain similar prices. In a rising market these represent the lower end of the range. In a declining market these represent the higher end of the range.

 

FASY REAL ESTATE - "Your SECOND home is our FIRST priority!"  

   609.398.8000       fax: 609.398.5084       cell: 609.602.4493

 

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