The DeVito Team · Keller Williams Realty Greater Nassau
What a comparative market analysis is, how the comparable sales are chosen, and how it differs from an appraisal or an online estimate.
The short answer: a CMA, or comparative market analysis, is a real estate agent’s study of homes like yours that have recently sold nearby. It compares your home with those sales, accounts for the differences, and shows the range they point to. It helps a seller understand the market before choosing an asking price. A CMA is not an appraisal, and it does not guarantee what a home will sell for.
Everything starts with the comparable sales (“comps”): homes that have actually closed, not homes still for sale. A good CMA is mostly about choosing the right ones. Ours are held to these rules, which are printed on every CMA we prepare:
No two homes are identical, so each comparable sale is adjusted for the ways it differs from yours, such as size, bedrooms and bathrooms, lot, garage and basement. The size of each adjustment comes from what buyers have recently paid for those features in the same area, not from a fixed table.
Where too few similar homes have sold nearby, the search widens to the same property type in the same county, and the report says exactly how far and how far back it looked. A CMA should always tell you when the evidence is thin.
What sales cannot show is the inside of a home: its condition, renovations and upkeep. That is why the range is a starting point, and why Joseph confirms where a home falls in it after seeing it.
| CMA | Appraisal | Online estimate | |
|---|---|---|---|
| Prepared by | A real estate agent | An appraiser | A computer model |
| Usually for | A seller deciding how to price | A lender, court or other formal assignment | A quick first look |
| Built from | Comparable sales chosen and explained by the agent | The appraiser’s own research under the assignment | Public records and listing data |
| Is it an appraisal? | No | Yes | No |
New York law defines an appraisal broadly, as “an analysis, opinion or conclusion” about the value of identified real estate (Executive Law §160-a). What the law protects is the title: only a state certified or state licensed real estate appraiser may call themselves one, or describe an appraisal as certified or licensed (Executive Law §160-b). Federal law sets when a mortgage appraisal must be done by a state certified or licensed appraiser (12 U.S.C. §3342).
When you sell, the appraisal you are most likely to meet is the one the buyer’s lender orders after you have accepted an offer. A CMA does not replace it. If that appraisal comes in under the contract price, our guide to a low appraisal explains what happens next.
An automated estimate is calculated by a computer model from public records and listing data. It is fast and costs nothing, but usually no one has seen the home or checked which sales truly match it, so it cannot account for condition, layout or recent work. Treat it as a first look, not a price.
Start with an instant home valuation. Where there are enough recent comparable sales near you, it shows an estimated range built only from those sales. When you request your CMA, it is your own private web page, which you can save as a PDF. It shows:
The range is based on homes in typical condition nearby. If your home has major improvements, its value may be on the higher side; if it needs work, lower. Joseph, a licensed Licensed Associate Real Estate Broker, confirms where it lands after seeing the home.
Joseph DeVito’s CMA is free to homeowners. He does not charge for it.
A CMA, or comparative market analysis, is a real estate agent's study of homes like yours that have recently sold nearby. It compares your home with those sales, accounts for the differences between them, and shows the range they point to. Sellers use it to understand the market before they choose an asking price.
No. A CMA is prepared by a real estate agent to help a seller understand the market. An appraisal is a valuation done for a specific assignment, most often for a buyer's mortgage lender. In New York, only a state certified or state licensed real estate appraiser may use those titles or call an appraisal certified or licensed. A CMA does not replace the appraisal a buyer's lender orders.
Joseph DeVito's CMA is free to homeowners. He does not charge for it.
A CMA is only as strong as the sales behind it. When several similar homes have sold nearby recently, the range is narrower and better supported; when few have, it is wider and less certain. Recorded sales also cannot show a home's condition or recent improvements. No CMA guarantees what a home will sell for.
An online estimate is produced by a computer model from public records and listing data, usually without anyone seeing the home or checking which sales truly match it. A CMA is prepared by an agent who chooses the comparable sales, explains why each one was used, and can see the home before discussing a price. Either can be a starting point; neither is an appraisal.
You can look up recent sales near you. The harder part is deciding which sales really match your home, setting aside sales that do not (such as foreclosures or homes in very different condition), and accounting for differences in size, layout, lot and updates.
Each agent chooses the comparable sales, how far back and how far away to look, and how to account for differences. Different choices lead to different ranges. Ask each agent which sales they used and why; the reasons matter more than the number.
Ours shows the comparable sales used and how each compares with your home, the rules used to choose them, sales that were set aside and why, the range those sales point to, local market conditions such as supply and time to contract, and a seller net sheet. Joseph confirms where your home falls in that range after seeing it.
This page is general information. A CMA is not an appraisal, and no range or estimate, ours included, guarantees a sale price.
The DeVito Team of Keller Williams Realty Greater Nassau
Joseph DeVito, NY Licensed Associate Real Estate Broker
400 Garden City Plaza Ste 438, Garden City, NY 11530 · (516) 770-3782
