Why Get a CMA
When buying or selling your home, having as much information as possible before starting the process is crucial. Knowing how much a home is worth is one of the first items of business to be addressed in any real estate transaction. This is where a “CMA” comes in to the picture.
CMA stands for “Comparative Market Analysis”. What’s that, you ask? It is a report that helps determine the fair market value of a home. It is a method of comparing like properties in the same area that have similar features, (things like age, square footage, number of bedrooms, bathrooms, size of the lot, general condition, etc) to come up with a value that is as accurate as possible. Why is that important, you ask? Say you are going to sell your house. What should the listing price be? You know how much you would like to sell it for, and what you think its worth, but what will you actually be able to sell it for?
How does a CMA differ from an appraisal? An appraisal is performed by a licensed real estate appraiser, and is required by lenders prior to loan approval to assure that the loan amount does not exceed the value of the property. A CMA is a summary of the most recent market conditions in a specific neighborhood or area, and can be generated by a licensed real estate agent from the MLS (Multiple Listing Service) database.
When it comes to buying San Ramon real estate, a CMA is a wonderful tool for the savvy consumer. In today’s market where homes are moving on and off the market at a rapid and dizzying pace, it is vital to have up to the minute information and be ready to make an informed decision when the time comes. When putting an offer in on a home, it often may be one of many offers. Mona can provide a CMA which can help your offer be as competitive as possible.
In the end, however, the consumer has the final say about what price they are willing to pay for a home. If this is THE home for you, sometimes offering more than the asking price can help your offer be the one that’s chosen. Once you’ve been able to analyze and compare with a CMA, the steps involved in buying or selling a home are far less daunting. Just remember the ABC’s of the CMA!