What does the term "comparative market analysis" entail?

The term "comparative market analysis" (CMA) specifically refers to the process of comparing similar properties in a specific area to help determine a competitive and fair listing price for a property. This analysis takes into account various factors such as the sales prices of comparable homes, their features, location, and the current market conditions. By assessing these comparables, real estate professionals can provide sellers with a well-informed pricing strategy that aligns with the current market trends, helping ensure that the property does not linger unsold due to overpricing or sell too quickly at a loss because of underpricing.

Other options focus on different aspects of real estate or investment principles, such as tax assessments, property repairs, or investment returns, but these do not pertain to the specific goal of establishing a fair market value through property comparisons.