A comparative market analysis (CMA) is a report prepared by a local listing agent to estimate the possible price of a house. It is not the same as an appraisal, which identifies the specific dollar amount at a point in time. It is crucial that property owners understand how a CMA is prepared. This article covers the importance of a comparative market analysis for Waltham MA properties.
How a Waltham MA Comparative Market Analysis is Created
The market value of a dwelling is determined by buyers. Because the real estate market fluctuates frequently, the traditional way to identify market value is to review other homes that sold in recent months. Current homes on the market are not valid estimations since there is no means to foresee what they will finally sell for or if they will sell at all. When preparing a comparative market analysis, real estate brokers attempt to locate comparable property and in similar areas. It is not always feasible to use close matches, so adjustments are often made to compensate for differing features. Condition, square footage, features, and other factors are noted. Not all property amenities add value and the dollar value of adjustments rarely equal the cost of upgrades.
The Importance Of A Comparative Market Analysis For Waltham MA Properties
A comparative market analysis usually includes a range for price instead of a single amount. Where a property should be priced within that range is based on the abundance and quality of competing homes on the market and your time frame. If you have a short window in which to sell, your pricing should be more competitive (at either the low end or even below the estimated range). This is particularly true if there is an overstock of real estate on the market. In general, the higher you price a property, the more time it may take to find a buyer. In markets where competition is sparse and your home is extremely desirable, you might have the benefit of pricing at the high end of the range. A skilled agent could help you with this decision and provide valuable guidance. Overpricing a listing can result in loss of valuable time and money, so refer to the knowledge of real estate agents and the undeniable figures in the CMA.
I hope that you found this overview of the importance of a comparative market analysis for Waltham MA properties useful. For further information on marketing a home for sale, review the other articles on this website. To request a complimentary comparative market analysis, contact Bradford Pratt at 781-316-5760 or firstname.lastname@example.org.