Online Home Estimator
An Online Home Estimate is an AUTOMATED PROCESS
It utilizes an algorithm to aggregate data of homes in your general area. An online home estimate is not an official appraisal, but is a helpful starting point to estimate your home value.
If you’re just curious to know what the approximate value of your home may be, an online home estimator is a great place to start.
Getting an “instant” home value is appealing, but there’s a cost to that approach. According to Zillow, their online home estimator “Zestimate” has a median error rate of 7.5% for off-market homes. For a $300,000 home, that’s $22,500 you may be leaving on the table.
To better comprehend your home’s present value or determine a potential sale price, your real estate agent can offer you a more comprehensive CMA, which compares your home to nearby homes that have previously sold, taking into account any unique characteristics of your home, its location, and the neighborhood market circumstances.
Home Appraisal
A Home Appraisal is a BANK PROCESS
When a potential buyer files for a loan to buy your house, the home appraisal process begins. A licensed appraiser must hold either a state certification or a state license.
The house appraiser is an impartial third party who has no stake in how the sale turns out. The bank hires the appraiser simply to make sure it isn’t lending too much money for the house. The appraisal will include details about the neighborhood, the condition of the home, and previous listings that are similar to it so that fair market value may be calculated.
No. Many people confuse CMAs with appraisals, but the main difference between the two is the person responsible for conducting the review. A CMA is based on sales data and prepared by a real estate agent, and an appraisal is performed by a certified real estate appraiser. A CMA and an appraisal are different processes, but both help you to get you accurate and up-to-date information about how much your home is worth.
Comparative Market Analysis
A CMA is an AGENT PROCESS
A Comparative Market Analysis (CMA) is a process performed by real estate agents to determine an appropriate listing price for your home.
We use our proven experience, MLS data, and your home’s unique location, features, and other important factors that can increase/decrease your home’s value.
- Property condition
- Location
- Age of home
- Market
- Bedrooms
- Bathrooms
- Square footage
- Price
- Improvements
- Amenities
The MLS is only available to real estate agents, which is part of what making listing your home FSBO (for sale by owner) so challenging. If you’re thinking of selling your home now or in the next few months, a CMA is the best place to start.
