Request a CMA Report

A CMA report for your property listing can be obtained from MLSNow for a low flat fee of only $199.00. 

 
Determining the asking price. Before a seller arrives at the listing or “asking” price of his/her property, it is crucial to analyze market conditions and comparable sales and listings in the general neighborhood. A standard definition of market value is: “what a ready, willing and able buyer will pay, at a price a seller will accept.” Do not underestimate the level of sophistication of your prospective buyers. They have probably already begun comparison shopping, and when they see your home, they will naturally compare the features, financing, and list price to the other homes that they have visited in the area. 

Many in the real estate industry would agree that “a house priced more than 5% over market value dramatically discourages offers.” Buyers who can afford the price will logically conclude that they can get “more house for their money” somewhere else. Buyers who cannot afford the price will simply walk away, and look elsewhere. This is why a classic real estate adage holds that “a house priced right is halfway sold.” Accordingly, the fair market value will be determined by comparing your property with similar properties that have recently sold, and in some cases, with similar properties currently on the market. 

Why do I need a CMA? A Comparative Market Analysis gives an estimated sale price for a property given current market conditions. It is prepared by a real estate agent or other expert, and comes in report form. It involves searching the Multiple Listing Service (MLS) for information about similar properties in the area that have recently sold. In order to arrive at a current price estimate, a Comparative Market Analysis should analyze information about listings that have sold and closed, those that are sold but haven't yet closed (the pending sales), active listings and expired listings. 

Pending and sold listings give the most reliable indicator of current market price. Active listings are a gauge of the current competition in the marketplace. Expired listings are properties that were listed for sale but didn't sell. More often than not, expired listings didn't sell because they were priced too high for the market. 

The agent then compares the property with listings found in the MLS search and by so doing, arrives at a probable selling price. Keep in mind that the price derived from a CMA is somewhat subjective. Also, a CMA is not an appraisal. You need to hire a licensed appraiser to complete an appraisal. Don't be surprised if a CMA gives a price range rather than a set price. You are more likely to see this in markets were there is great variation in terms of property size, age, architectural style and condition. 



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