What is your home worth?
What is the difference between an Appraisal and a Comparative Market Analysis?
What is my home worth is an old question with the same the answer – “It’s worth as much as someone else is willing to pay for it”. Well not exactly … in order for the buyer to secure financing your home should still appraise at or above the selling price.
The difference between a CMA (comparative market analysis) and a real estate appraisal report is that one is done by your real estate broker and one is done by a licensed real estate appraiser. A CMA is an estimate of your home’s value done by your real estate broker to establish a listing or offer price when you decide that you want to sell or buy a home or property. This service is always offered free of charge and without obligation. A CMA should only be used as a reference for deciding at what price you should list or buy your home for. We create a CMA by utilizing recent sales data and using our knowledge of the local market. We will also compare your home with homes that are most like yours in your neighborhood, or similar neighborhoods nearby. A comparable home/property is one that is of the same type (single-family, multi-family, commercial, etc.), is in similar condition inside and out, and has the same or close to the same number of units and land/living area size. Some factors that will be considered are:
- Comparable properties that have recently sold (3 – 6 Months),
- Properties that are currently listed in the Multiple Listing Service (MLS)
- How long similar properties have been on the market
- Property listings that have expired or have not sold
- Location (such as corner lot, school district, street traffic, proximity to highways etc.)
Swanson Real Estate
503 E. Church St.
Sandwich, IL 60548