The Comparative Market Analysis (CMA) is a method used by real estate agents to establish the market value of a home or commercial property. The CMA consists of evaluation of market and other economic variables to determine listing price.

Distinct from original mortgage loan appraisal of a property, the CMA combines a number of factors not restricted by market rates. When a real estate agent performs a CMA analysis, presentation of a property value is based on comparison of local listings. Types of listings involved in CMA reporting: active, pending, sold and expired.

The CMA report offers potential buyers and lenders a recommended selling price range. The pricing continuum accounts for some deviation from the estimated price and it is of utmost importance that you pay close attention to this report since it can largely determine how your selling process continues.

How the CMA is Prepared

Agent preparation of the CMA requires evaluation of information from the Multiple Listing System (MLS), as well as county records of property title. Comparison of square footage, amenities and upgrades, age, and location are all included in the estimated list price. Location has a significant effect on total price. Listing prices of adjacent and nearby properties establishes a baseline for estimated CMA final price.

The property price comparison is comprised of three or more properties located in the same neighborhood as the CMA property. Some agents run a cross-comparison of up to six properties to evidence a more reliable pricing structure. If a comparable property is not available in the neighborhood, other similar properties throughout a city may be sourced for the listing estimate.

Selecting a Real Estate Agent

Many property owners select a real estate agent based on CMA reporting. When a homeowner or commercial property owner initiates resale of a property, request of CMA from multiple agents is common in order to make a point of contact and decide which agent you feel most comfortable pursuing your sale with. If an agent exhibits expertise in the area of CMA and the area where your property is located, they should definitely be considered. The CMA reflects an agent’s knowledge of the real estate market, valuation in the area, and pricing criteria to obtaining the best possible price on a listing. Experienced agents will report CMA value close to market appraisal.

CMA Benefits for Property Owners

The CMA offers potential buyers comparative listings in a neighborhoods of interest. Reasonably priced listings are the most likely to sell quickly. The CMA on a home or property provides prospective buyers with a good idea of the value for money on a real estate investment, including resale return on investment according to current market values.

If you are seeking refinancing or selling a property in Ann Arbor, MI, an unbiased opinion of a property’s value can serve as leverage in sourcing a better interest rate and payment arrangement on an existing title. If the results to a CMA are good, it is time to put a property up for sale since now really is the time to sell in Ann Arbor.

If you have any further questions about selling your home, or the market in and around Ann Arbor, please don’t hesitate to contact us.  

It is a prime time to sell a home in Ann Arbor since the real estate market in the area is currently booming and an influx of people are moving into the area. With numerous motivated buyers in Ann Arbor and surrounding cities, most homeowners are able to successfully sell their homes within a 30-day period. However, with inventory quite low, compared to the amount of buyers waiting to purchase their dream homes, it can make selling a home somewhat challenging if your home is not move-in ready. If you currently have a house on the market yet it hasn’t sold, then you might need to change your strategy or reevaluate your selling process. 

Do You Need to Take a Step Back?

If your home has been on the market for more than 30 days and has not sold, then the listing may need to be revisited. A listing that is considered “stale” is a home that is repeatedly overlooked, or potential buyers make extremely low offers, substantially less than the listing price or what the home is worth. This happens usually because a home is listed with a high asking price.

Changing Gears

If your listing has in fact gone stale, then there is no reason to lose hope, because by changing gears, you can turn things around and finally get your home sold. You might need to do some homework which will help you take the best course of action. Have you been hearing potential buyers commenting on the same imperfection over and over? If so, then you may need to take your home off the market temporarily to allow time for you to make the necessary renovations.

Overpriced?

Have you recently had your home properly appraised? Is your asking price closer to comparable houses for sale in the area? You might seriously want to think about lowering your asking price, because it could make a big difference and possibly turn your luck around in no time.

Are You Working with the Right Agent?

In order to sell a home with ease, the real estate agent who has been hired to market it must possess knowledge, skill and drive. If your agent lacks these attributes, then you might seriously want to consider hiring a new, more experienced agent with a good track record in your area.

It can be very distressing to place your home on the market in a prime area and it fails to sell after a certain period of time. Despite your distress, there is hope to get your home sold quickly, and for a fair price. You might need to make a few changes, strategically lower your asking price, or even switch to a more experienced and aggressive real estate agent. You might also want to consider offering incentives like including brand new appliances with the sale, or offering to pay closing costs. As long as you carefully analyze your situation ahead of time and then proceed to make the necessary changes, then your house will likely sell as expected.

For more information on selling your home, please do not hesitate to contact us!

When things get hot, people spend money on everything from lemonade to real estate. The summertime is the perfect time to sell in Ann Arbor, especially because the area is filled with families who are looking to close on a home before the more uncomfortable weather of the fall and winter hit. In order to make your home look and feel its best in order to sell before the end of the summer season, a few small touches go a long way. There are, however, some tips that are well known to real estate pros that may give you an edge on the market.

Move-In Ready or Bust

People do not want to spend their summer months waiting for a home. They want to enjoy it. Make the investment that will ensure that your home is move-in ready. Have it sprayed for bugs if need be, fix the plumbing and infrastructure, and paint or strip old wallpaper and outdated decor. Any small fix you can do in order to make your home better prepared for buyers is a good way to go.

Put Your Best Foot Forward

Keep the air up slightly higher than normal in order to make your visitors as comfortable as they can be. Stage the house with neutral colors that complement both the natural light your home has along with facilitating future homebuyers’ tastes. Make sure that the house is dusted so that when you open it up, everything will shine like it is brand new.

Your curb appeal is essential. Perhaps one of the best investments that you can make in a real estate sale is in professional lawn service that maintains the yard consistently until the place is sold. If your neighbors have messy yards consider offering to mow their lawn as well because future home buyers are looking at the total package, not just your home.

Maintain Good Relationships

It is important to make people feel welcome in their search. Have a cold drink ready for the people who will be visiting your home. You may think that this does not say anything about your house directly, but it never hurts to give off a welcoming vibe.

There is no reason to gloss over the inevitable shortcomings of the house if you have performed your due diligence by making the proper improvements, or included a maintenance allowance within the price. Let people know what they will be getting for the price. There are certain truths about a home you can let people know, especially if you have done your research in the local area. Owning your property’s shortcomings is much more effective than hiding them.

Your home will sell if you make it look its best for your potential buyers. A little bit of hospitality goes a long way; let your buyers know that you care about your home, their comfort and the process, and you should have no trouble at all moving property in Ann Arbor. For more information and help in selling your property by the end of the summer, please do not hesitate to contact us.

Staging a home is a basic necessity and important component of the real estate business. Potential buyers need to envision themselves and loved ones enjoying a life in the home. First impressions for your home count just as much as meeting a person in real life. This means well-kept lawns, updated fixtures and neutral paint. This article will focus on how to avoid common mistakes that will make you lose a buyer in much less than ten days if you are’t careful. Don’t make the easiest mistakes in the book below: 

Messy Spaces

The worst mistake sellers make is not cleaning the home. No matter how appealing a listing may be, if the home is filthy, it will not sell easily. Properly cleaning a home increases buying potential exponentially.

Intrusive Pets

While many people enjoy animals, they can be an instant way to turn off potential homebuyers. Some animals are intimidating to people. They can also be a distraction while your agent is trying to show the home. Additionally, it can be difficult to mask the odors from animals and to control where animal fur goes. Make a plan for your pets during the sale so when there is an unexpected showing you know exactly where your pups can go for a bit.

Lingering Odors

Odors are one of the major turn-offs for potential homebuyers. If buyers smell anything out of place, it will make them wonder about potential issues with the home. Make sure to have all of your drapery and carpets professionally cleaned before you sell.

Poor Landscaping

Also known as poor curb appeal, poor landscaping is enough to make potential buyers not even bother getting out of their car. Landscaping is important because it is one of the first things buyers see and a clear indicator of whether or not the house is well taken care of.

Overpricing

Pricing a home higher than it’s worth is a mistake that will cost money and time. People shop around for prime real estate so they will know how your pricing compares with other options in the market. Overpricing a home can take you out of the competition immediately leaving with you with no showings and no offers.

Outdated Decor

When potential buyers see fixtures that are outdated, they see dollar signs. Searching for a new home is difficult enough. No one wants to think about additional money and work they will have to put toward a new place.

False Representation

The majority of the time buyers use photos and info from websites to determine whether they want to view a house in person. This is why it is crucial that your photos are an accurate representation of what the listing will look like in person or better. Even though sellers want to paint the best picture they can for potential buyers, it’s important to paint an accurate one that doesn’t leave people feeling mislead.

Busy Walls

Bright wallpaper or busy paint colors can turn people off a home immediately. A wrong color can dominate a room, so neutrality is key. Make sure to remove any outdated or busy wallpaper, along with bold paint colors, in favor of a neutral paint color. This way a future homeowner can imagine themselves making the house their own.

Personal Items Galor

How can someone properly envision living in a home when it looks sufficiently lived in? Family portraits, knick-knacks and personal items need to exit the home before a showing.

Hovering Homeowners

There is almost nothing more awkward for potential homebuyers than to deal with hovering homeowners at a showing. A buyer needs to be comfortable inspecting every nook and cranny in a home. It’s important to give potential buyers space to do the observation they need. Buyers need to be 100% confident with a home before they make an offer.

Selling a home is no easy task. In any market, real estate professionals need to be at the top of their game in order to make listings more appealing. Hiring a real estate agent can help most homeowners looking to sell avoid these easy mistakes. For more information about selling your home, please don’t hesitate to contact us.