A comparative market analysis is a tool that real estate agents use to estimate the value of a specific property. This is done by evaluating similar ones that have recently sold in the same area. It can be extremely challenging to reliably estimate the fair market value of a home. This is mainly due to a significant number of factors that go into determining how much a specific property is worth.
Several factors affect the price of a property. The location, square footage and the number of bedrooms and bathrooms are only some of those factors.
The property’s age, its condition, features, lot size and so on. In addition, the conditions of the local and national markets, can also affect the value of residential real estate.
In order to conduct the analysis, agents search for recently sold homes in the same area. These are as similar to the property that the client wishes to sell as possible.