How Do You Do A Comparative Market Analysis? - Fixanswer

While your real estate agent can do a CMA for you, you might want to do your own analysis. You can find comps by searching for recent home sales in your area on listing sites such as realtor.com . One way to quickly assess how much a house is worth is to use an online home value estimator.

Can I do my own comparative market analysis?

Individuals can perform their own comparative market analysis by researching comparable properties (known as “comps”) on real estate listing sites, such as realtor.com.

Who prepares a CMA?

Your real estate agent will prepare a CMA by examining about 10 properties that are comparable to your own home in location and size to figure out an appropriate initial asking price. Getting a CMA from your agent is often one of the first steps you’ll take in listing your property.

Is comparative market analysis accurate?

A Comparative Market Analysis is a great tool for real estate agents to determine a home’s current market value. Although they are often very accurate , it is not a guarantee that your home will sell at the price provided to you in a CMA. The accuracy of the CMA relies heavily on the comps that are chosen.

How do I get a free comparative market analysis?

Some websites, such as realtor.com , offer comparative market information for free. You can either scan lists of homes that have recently sold or get a report prepared by a local real estate agent, who will contact you and probably try to solicit your business at that point.

How much does a market analysis cost?

A quick answer is that an RSR market study may range from as little as $10,000 to as much as $100,000 or more . To narrow this range requires a detailed discussion of what the client is hoping to accomplish by purchasing a market study.

How do I present a CMA?

Step One: Getting the Zestimate and Checking RPR. I start this process with two tabs open: my subject property and a blank search. ...
Step Two: Heading To Your MLS. ...
Step Three: Analyzing Your Comparables. ...
Step Four: Using the CMA Summary.

How many properties do you need for a CMA?

The first step for an agent preparing a CMA is to find three homes that have sold recently (within the past 6 months at most, but preferably 3 months). These three homes should be as similar and located as closely together as possible.

How much does a CMA cost?

CMA program entrance costs $225 , but student or academic IMA members are eligible for a $150 discount. CMA exam fees are $300 or $350 per part, depending on how you register and when you take the exams, for a total of $600 or $700.

How accurate is a market analysis?

Most marketing data is between 10% and 20% accurate . Data that is less than 10% accurate generally doesn’t perform. Data that is better than 20% accurate has decreasing audiences to sell.

What is the competitive market analysis?

A competitive analysis is a way to identify competitors, and understand competitor’s strengths and weaknesses in relation to yours . It helps you gauge how to curb competitors and refine your strategy. Conducting a competitive analysis is important because you’ll build: ... Strategies for how to expand into a new market.

What is the difference between an appraisal and a comparative market analysis?

The CMA relies on vague market trends . The appraisal relies on specific, verifiable comparable sales. In addition, the appraisal looks at other factors like condition, location and construction costs. ... A CMA is created by a real estate agent who may or may not have a true grasp of the market or valuation concepts.

What is the first step in completing a CMA?

What are the four steps in the CMA process? Collect and analyze information about the seller’s property . Choose comparable properties in the area. Compare the seller’s property to the comparables and do some adjusting to the value of the comparables.

What is the secret to a fast sale of a property?

The secret to a fast sale is: a seller might have to lower the price of the property.

How can I get a free market analysis for my home?

Visit a real estate website such as Zillow , Trulia or Redfin and use the search facility to find homes for sale in the area. Review the active listings and recently sold property listings to find homes that are similar in size, age and amenities to your property within a radius of 1 or 2 miles from your home.