Determining the Market Value of Your Home


COMPARABLE MARKET ANALYSIS

Comparable Market Analysis (CMA), provides information about properties that are relevant in determining the fair market value for your property and ultimately the proper listing price for your home.

Fair Market Value has been defined as . . .
The highest price estimated in terms of money which the property will bring when the property is exposed for sale in the open market by a willing seller, allowing time to find a willing buyer, neither buyer nor seller acting under compulsion, both having full knowledge of all the uses and purposes to which the property is adapted and for which it is capable of being used.

This market value definition presupposes perfect knowledge on the part of the buyer and seller. Since this perfect world rarely exists, our estimate of price is generally indicated as a range.

This is an opinion of value or comparative market analysis and should not be considered an appraisal. I utilize many tools available to me as a real estate agent. They include: comparable sales, competitive listings in escrow, square footage, location, amenities, and the general condition of the property.

I will use reliable information currently available from the local Association of Realtors, local real estate firms, home builders, and title companies. It does not reflect every property of comparable value for sale now, but it will represent a good cross section of the competitive real estate inventory and recent sales.

Please note that while no property is exactly like yours, other properties can provide a good reference source in a comparable market analysis.

The estimated value I derive for your property does not mean that the sale of the property could not occur at a higher price. The price you ultimately receive, of course, will depend on your motivation, the motivation of the buyer, and market conditions at the time offers are received.

Once we have tested the market at this price, we will make periodic reviews to ensure we remain competitive.

DETERMINING VALUE

LOCATION:
· Location is the single most important factor in determining the value of your home.

COMPETITION:
· Prospective buyers compare your property against competing properties.
· You are competing with every other home that is currently for sale: new and pre-owned, those listed with agents & those trying to sell themselves in your area
· Buyers will perceive value based upon properties that have sold or are available in the area.

TIMING:
· Property values are affected by the current real estate market.
· As the real estate market cannot be manipulated, a flexible marketing plan should be developed which takes into account the current marketing conditions as well as individual features of the property.

CONDITION:
· The condition of the property affects the price and speed of the sale.
· As prospective buyers often make purchases based upon emotion, first impressions are very important
· Optimizing the physical appearance of your home will maximize the buyer’s perception of value.
· If buyers have a choice of two comparable properties similar in price, they’ll choose the one in the best condition.

PRICE:
· Pricing your home properly from the beginning is an important factor in determining the length of time it will take to sell your home.
· Reviewing this home marketing plan will assist you in determining the best possible asking price.
· If buyers have a choice of two comparable properties similar in condition, they’ll choose the one that is less money.

If you’d like a Comparable Market Analysis for your home, please call or email me and I’d be happy to provide you one. Or, you can request one via my email:  dallashomes@me.com

www.DallasHomesForSaleAndLease.com

Direct:214-738-5555

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