A CMA is a Comparative Market Analysis. This is a tool that real estate agents use to help determine an appropriate value for your home. A real estate agent prepares a CMA for a seller who is consider selling so that the seller has an idea of a price at which their home would likely sell.
When preparing a CMA an agent will look at similar homes in your area that have recently sold, are currently listed, or were withdrawn from the market without selling to determine what your home may sell for in today’s market.
Your agent will likely use properties that have similar:
- Size
- Bedroom Count
- Bathroom Count
- Location
- Style
- Etc
They will consider what makes your home unique from other properties including features, upgrades, location, etc as well as qualities that may make it less desirable when compared to other homes.
All this information is used to properly price your home when listed. Pricing is key when listing, and we want to insure it is done well off the bat. Pricing your home too high could lead to extended time on the market and lower offers.
This is why a CMA is a crucial step in the selling process as a well-priced home will attract more buyers and sell quicker.