Preparing an Accurate Comparative Market Analysis
Realtors often ask us how to prepare an accurate Comparative Market Analysis. The following is an outline of presentations given at Realtor Training Sessions.
Be subdivision specific in both MLS and Public Records.
No more than 3 months from date of valuation, for selection of sales.
Sort recent sales by Living Area (if subject is 1250 SF then search from 1150-1350)
Try to find sales without major differences (pool, water, room count, etc).
Search by Grid first. If there are not 5-10 sales that fit 1-4 above (be sure to screen by size and eliminate major differences) then expand the search area.
Place sales on market grid and make adjustments as necessary to arrive at a value range.
A Sample Market Grid is available free at: http://gulf-to-bay-appraisals.com/Market_adjustment_grid.pdf
Marten Davis, SRPA
Filed under: Business