What is a comparative market analysis?

A comparative market analysis (CMA) is an evaluation of similar types of property that have recently sold in the same area. It is often used in residential real estate law in Florida to help an individual ascertain the initial list price of a property they are interested in selling. The analysis looks at comparable properties that have sold in the same area and compares various aspects of each such as square footage, number of bedrooms, lot size, etc. By comparing the sales prices of similar properties, the individual is able to determine the market value of their own home. There can be some variation in the market value of a home but the CMA provides an initial point of reference as to what the property might be worth. The CMA can also be used to help buyers decide on a fair and reasonable offer on a property they are looking to purchase.

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