A CMA is a "Comparative Market Analysis" prepared by your Professional Licensed REALTOR, which provides data comparing your property to similar homes in your immediate area. A detailed Analysis will include comparing square footage, bedrooms, baths, lot size, size of garage, type of home, roof, etc, all criteria that affects the value of your home. Properly done, a CMA will give you and your agent a fair Market value of your property, and a price acceptable to list it for sale.

A true CMA will only compare your property to others of similar size and style within a one mile radius. This is important when obtaining a Market Value for your home, since some areas of any town command a higher value for homes than others. You would not want to compare your home value if it were in the middle of town to a home on a hill offering beautiful panoramic views, or one sitting on the banks of a river! So locating homes of similarity within a one mile radius is important to finding a true value.

Please note, for all pratical purposes, a CMA is not an appraisal. An true appraisal must be performed by a licensed appraiser for the purposes of loan value, or taxable value for the county.

It is important to have the CMA before your home is listed for sale. This is a good assessment of what your house could potentially sell for, and helps you to understand how the REALTOR has formulated the value.

CMAs are not only for potential sellers, they are also useful for Buyers when they find a home that suits their needs, and are considering purchasing. Owners who are considering upgrading or remodeling their homes can benefit from a CMA to see if the intended changes will "over-improve" their property compared to others in the neighborhood.

Robert P Bowman is a Licensed Professional REALTOR with Cornerstone Real Estate Professionals. Part of his service to his clients has been to prepare a detailed CMA, making it most understandable on how he has obtained a Fair Market Value for his Sellers and Buyers. Robert can be reached by e-mail loganrealtor@gmail.com or visit his website www.retireinlogan.com