Comparative Market Analysis

A Comparative Market Analysis (CMA) is used to determine the current and fair market value of a specific property based on

LOCATION | SPECIFICATIONS | HIGHEST & BEST USE | FEATURES | CONDITION

The primary tool for assessing the current and fair market value is to compare similar homes in similar neighbourhoods that have recently sold or are currently for sale.

IMPORTANT NOTE: There are two values for your home. The first is the Market Value, which is the final price you should expect to receive from your home. The second is the Appropriate List Price. This number can fluctuate considerably based on your motivation, market conditions, and how soon you need to buy or sell.

A CMA is not an appraisal. CMAs are typically done by REALTORS® for free, whereas appraisals are done by professional Appraisers for a fee. Both groups use basically the same information; however, Appraisers receive extra training and accreditations for assessing property value and provide more detailed reports.

WHY IS THE NET VALUE MORE IMPORTANT? |  Understanding all costs associated with selling will enable you to determine the actual amount you will receive. Focusing on this number allows you to plan with confidence.

Let us WOW you with our awesome presentation skills. Ask for your very own CMA today. You don't even have to be selling your home. We are always happy to come out and talk real estate. 

Creative Marketing and Open Houses

In addition to REALTOR.CA and Multiple Listing Service® (MLS®) exposure, your listing gets our creative marketing strategies and the attention that it deserves. We also have access through online chat to an average of 150 REALTORS® signed in to our weekly meeting, all of whom have multiple buyers! We like to get creative with your listing description to make your home stand out from all the rest. And, we love to use our website, social media and our network of influencers to bring buyers to your home.

Home Staging

Tracy has her certificate in interior decorating and Chrissie has a certificate in home staging. (Full disclosure: We are also HomeSense and IKEA junkies.)

When you hire us to list your home (again – YAY, you), we provide you with a 3-4–hour home staging consultation and your very own home staging report (valued at up to $500). You can use the report to make the suggested changes yourself, or you can enlist us to do the work for you. We can rent furniture and accessories for your home, but, usually, we can make use of your own furniture, with some rearranging. You want your home to show a 10 out of 10, and we can help you get there.

The Steps to Selling

REALTOR® Interviews and the Comparative Market Analysis (CMA) | There are hundreds of critical mistakes you can make when selling your home; however, there is a universal cure for them all... qualifying and choosing the right agent. Ask your agent lots of questions to ensure their motives are in the right place and they have the ability to properly represent you. Furthermore, you need to find out if you are comfortable with this person’s style of business. In addition to an interview with an agent, have them look at your house and give you an idea of value. The agent will then assess the other homes in the area that are comparable to yours, make financial adjustments for the differences and give you an approximate value. This process is called a CMA.

1. Document and Material Preparation | In order to sell, there are certain documents and materials that you should obtain. These include an updated survey of your property called a Real Property Report (you likely have one from when you bought the home), any relevant repair receipts (such as a new roof or furnace), any home warranty documents, a spare set of keys, relevant rental or lease agreements, etc. If you live in a condo, pull all the documents you have received from the board or management company. Your REALTOR® should help you with the rest.

2. Home Preparation | If there are major repairs that need to be made, consider fixing them before you sell or offering a credit to a buyer for the repair. If you try to hide it or don’t address the issue, then in the buyer’s mind, it will drastically reduce the quality and price of the property... “If this is wrong, then what else is wrong?” In terms of a simple cleaning, the key is to de-clutter rooms (knick-knacks and excess furniture), and make sure the house looks clean and well maintained.

3. The Listing Documents |  When you sign the listing documents, be sure that you understand you are signing a legal contract. We will explain each clause and the implications. When does the contract begin and how does the contract end? What are your rights and responsibilities within the agreement? Most standard contracts are written to protect you (the seller) and the brokerage, as well.

4. Marketing  |  We will want to mention all the features of the house that convinced you to initially make your purchase, because other buyers will likely feel the same way. Look over the marketing materials and if you have any suggestions for additional information, feel free to let us know. Any house will sell if the value exists or is perceived in the mind of the buyer... this is the key.

5. Showings  |  No one likes to be forced out of their home, but it is extremely uncomfortable for a buyer if you are present during a showing. If possible, make arrangements with a friend, neighbour or relative to be absent during showings. The more flexible you can be the better; however, if there are specific times that will not work, or if you want a break, simply tell us. We are all human, and buyers will understand that the home will not be accessible 24/7.

6. Strategy Assessment |  After a couple of weeks on the market, we should have enough feedback to assess the current marketing strategy, and it may be time to make some adjustments. This may include changing the marketing medium (social media vs. websites, etc), the features that are focused on, price, agent incentives, etc. We will remain proactive so your listing doesn’t go stale.

7. Offer and Negotiation |  When someone decides to write an offer, we will contact you to set a time to present it to you. The agent bringing the offer may want to present in person; however, you ultimately have the choice. After some negotiations, signatures and initials will be required to finalize the agreement. The goal in a successful negotiation is to come to a win-win solution. Remember, people will pay your price if they feel they are getting value.

8. Conditions |  It is most common for an offer to have some sort of condition on it. This might be that the buyers agree to purchase your house as long as they can get a home inspection first or subject to their financing being approved. A due date is usually between 7–10 days and your house will be considered “conditionally sold” or “C/S” during this time. The shorter the condition dates the better, but it is important to give the buyers a realistic amount of time to save extending dates. 

9. Prepping for Possession |  Once conditions are removed, the deal is considered “firm” and you can prepare for possession. You will need to book an appointment with the lawyer (usually a date about a week before possession), and fulfill any part of the contract that you agreed to. If you said you would paint, clean, or something else, then this must be done before possession to avoid a contract breach.

10. Closing and Possession |  Possession typically happens at 12 noon unless otherwise agreed to in writing. It is best to have your furniture moved on the previous day as some people like to get in a couple hours early to do a walk-through (this is not a requirement and is simply a show of good faith). Keys do not get released to the new owners until noon and only if the money has been transferred to your lawyer (we will be notified). Typically your cheque will be ready a couple days after, and if you are buying a new home, the lawyers will handle any money transfers that need to happen.