Comparables (CMA) Report Overview
What is Comparable Properties tool
Comparable Properties tool can be used for market properties analysis: it helps real estate professionals to quickly evaluate the property’s potential market price by examining sales data for comparable properties in the area. The User can check the default available data or customize settings to compare the prices filtered on specific properties' characteristics. Either way will give you a quick estimate of a properties market value in only a few seconds.
Choose this tool if you need to gauge the market in a specific region and make sure your suggested sale price for the property aligns with the market state. You can also use this data in your offers and prospective client interactions: share proposals to potential clients suggesting them your services and accurate real estate prices (which are based on real market data analysis!).
To work with Comparable Properties tool, you first need to be on a property report for the property you would like to evaluate. This will be the subject property. From the Property report page, go to reports section on the right and click Comparable Properties:
Comparable Properties overview
Comparable Properties page includes the sections with the property information (subject property data is from Property report you previously viewed), the map where the property and its comparables are displayed. Below that are the projected sale price which is calculated based on compared properties' data, and calculated statistics, which includes numbers available in our data calculations based on sale prices and property details of comparable properties listed below. The Comparison Criteria show what filters were applied/customized to generate the list of comparables properties below. By default the comparable properties listed will be of a similar land use and general similarity as the subject property:
Missing Comparables?
- One common question is when users know that there was a recent sale nearby that doesn't show up in the comparables list. Most often, the issue is that one of your criteria filters is the cause for the exclusion. For example, that sold property might no be within the land size range or building size range that you have selected. Broaden some criteria and see if if shows up.
- If that recent sale still doesn't show up, it might be that there are more better comps that were found. We take the top 30 matching comps and put them in our list. If the missing sale does not seem particularly similar to the subject property, it might not make the top 30.
- It is also possible that missing sale is excluded because it is a distinct outlier...for example a property that has a significant difference from the subject property and assessors market value, or a large difference in sale price from expectations. These outliers tend to throw off Comparables reports, and if a possible comp is just too dissimilar, the comparables process may exclude it for that reason.