Market Value is defined as:
- The most probable price a property should bring in a competitive and open market assuming the following conditions: buyer and seller are typically motivated, both parties are well informed or well advised acting in their own best interest, a reasonable time is allowed for exposure in the open market, and the price represents normal financing and sales concessions. (The Language of Real Estate, Sixth Edition, John W. Reilly)
- An estimate of price is generally indicated as a range of values.
- In preparing a competitive market analysis (CMA), we will use comparable sales, competitive listings, location, amenities, and property condition.
- The CMA will not reflect every property of comparable value for sale on the market today, but will represent a good cross section of the current inventory and recent sales. While none of the properties will be exactly yours, they will provide a good reference source in a comparative analysis.
- The price you will receive will depend on your motivation, the motivation of the buyer, and the market conditions at the time of the sale.