Understanding Market Conditions and importance of CMA

posted in: HOME BUYERS | 0

Market conditions is another very important factor to consider when planning to purchase or sell a house. Market always sets the rules of negotiation. A prudent agent is always aware if it’s dominated by buyers or sellers? Do home sellers get multiple offers or everyone is too busy preparing for the holidays? Realtors who follow the latest market trends and understand its cyclical nature are the ones who make sure their clients  benefit in any market condition.

Once we get closer in finding your dream home, we will go over all the pros and cons of selected properties to insure which one is THE ONE! Once decided, I will prepare a Comparative Market Analysis Report (CMA). This is a crucial step that, unfortunately, some agents don’t do at all. Basically a CMA will establish its current market value, a price point at which we would consider listing this home for if I was a listing agent for that property. This Report includes comparable properties that are available for sale in a specific area, properties that were sold and ones that were not (terminated). The Comparative Market Analysis Report plays an important role during the offer presentation and the price negotiation process, just as much as understanding market condition that we are in.