What is a "Comparative Market Analysis" (CMA)?

A "Comparative Market Analysis" (CMA) is an evaluation of similar properties to estimate the value of a specific property. This process involves analyzing recently sold homes in the same geographical area that are similar in features, size, condition, and other factors. The aim is to provide an informed estimate of what a property might sell for based on current market conditions and comparable sales.

This method is widely used by real estate professionals to help sellers set competitive listing prices and assist buyers in understanding market value. It takes into consideration the sales price of similar properties, the time they spent on the market, and adjustments based on any differences in features or conditions between the properties being compared.

The other options do not accurately describe a CMA. It is not an appraisal, which is a more formal assessment typically conducted by a licensed appraiser using more rigorous methodologies. A CMA does not focus on the property's history, such as prior sales or ownership, nor is it primarily a sales strategy. Instead, it serves as a tool for value estimation based on direct comparisons with other properties.