When you are preparing to sell your home, getting a CMA is crucial in determining the worth of your home and what a good asking price will be. So what is a CMA?
CMA stands for Comparative Market Analysis. A CMA is used by realtors to calculate the market value of a property they are selling before they list it. As a homeowner, you may have some idea of what your home is worth based on your own knowledge of the area and property itself. However, we highly suggest you have a real estate professional, such as ourselves, complete an official CMA for you. It will be your second greatest asset in the selling process; the first greatest asset being us, your real estate agent!
A lot goes into a CMA, such as:
Location: Where is your property located? What is the neighborhood like? What are the nearby amenities? Is your property walking distance to things such as schools, grocery stores, transit or recreation facilities? Is it close to a highway where there will be lots of noise? Is it in a suburb on the edge of town, far from all major roads? What is the walk score for the area? How safe is the community?
Other Properties: What is the benchmark price for a home in your area? What properties similar to yours have sold recently, and how much did they sell for? Is the market in your favor right now, or could waiting six months before listing be of benefit? Why did certain homes in the area not sell? What sets your home apart from the others?
The Overall Market: Is the Calgary market a buyers market (lots of inventory, driving down prices) or a sellers market (minimal inventory, driving up prices)? What are the predictions for the market in the next month, six months, year?
After your realtor has done all of this work, they will present you with an in-depth report giving you a good asking price and a thorough explanation of why they have priced the property that way. CMA’s are such a fantastic way for you to feel confident in your asking price, and to make sure you aren’t over or under estimating.
This is an exciting step closer towards selling your home, so be encouraged!
Your Real Estate Professional,