What is a CMA?

A Comparative Market Analysis is a tool real estate agents use to help sellers and buyers understand where a property fits in the current market. When a Realtor prepares a CMA for your home, they're analyzing comparable recently sold properties, reviewing what's currently on the market, and applying their knowledge of local conditions to develop a supportable estimate of market value.

What goes into a CMA

The agent identifies properties that share relevant characteristics with your home: location, size, age, style, condition, and features. They then adjust for meaningful differences. A comp with a larger lot, a more recently updated kitchen, or additional square footage will be weighted accordingly. Sold prices tell what buyers have actually paid; active listings show what your home is competing against.

Market conditions matter too. How quickly homes are moving, the level of buyer demand, and inventory levels all inform how the data should be interpreted and what pricing approach may make sense.

How a CMA differs from an appraisal

A CMA is a Realtor's professional analysis, typically provided at no cost as part of a seller consultation. An appraisal is a formal assignment performed by a licensed appraiser. It produces an appraised value that lenders may rely on in a financed transaction and carries a different weight and purpose than a CMA.

Both use comparable sales as a foundation. The difference is in the purpose, the credentialing, the methodology, and the context in which each is used.

What a CMA produces

A CMA doesn't yield a single guaranteed number. It produces a supportable range based on the available evidence, and the discussion that follows helps a seller evaluate where to price given their goals, timeline, and current market conditions.