This estimate is an automated valuation, and should not be used to determine a final value on a property. For a more precise valuation, we recommend a CMA from a local and licensed real estate agent, or an appraisal from a local and licensed appraiser.
A comparative market analysis is an analysis conducted by licensed real estate agents to determine the value on a property that is being considered for sale or purchase. This analysis may include nearby properties that have recently sold, are pending sale, or are actively listed for sale. By considering the age, size, location, price, and quality of surrounding properties, a value of the subject property is determined. CMAs have the potential for bias since a real estate agent has a financial interest in the value that’s determined.
An appraisal is conducted by a licensed appraiser to determine the value of a subject property. It may include surrounding properties that have recently sold, are pending sale, or are actively listed for sale, and will consider the age, size, location, price, and quality of those properties to determine a value. It is a more thorough and systematic process than a CMA as an appraiser will generally survey the property, take measurements, and follow the specific guidelines of their governing body. An appraisal is considered more objective than a CMA as the appraiser is paid for the service of doing the appraisal, and does not have a financial interest in the value that’s determined.