What a CMA is made of
A comparative market analysis prices one home, called the subject, against similar homes that sold recently. Agents build CMAs to set a list price or shape an offer. Investors run them before they buy.
Comps is short for comparable sales. An adjustment is the dollar amount added to or taken off a comp's price for each way it differs from the subject. A CMA rests on these inputs.
- Sold comps: 3 to 5 similar homes near the subject that closed recently.
- Active and pending listings: They show what a buyer can choose from today.
- Adjustments: Size, features and property condition each move a comp's price up or down.
- Market direction: Prices that rose or fell since each sale shift the result.
A real example from a Homesage.ai report
We ran a Full Property Report on a single-family property in Tulsa, Oklahoma. The report scores its property condition as Good and lists 5 comparable sales.
| Sale | Property condition | Sale price | Report's adjustment | Adjusted price |
|---|---|---|---|---|
| Comp 1 | Good | $206,000 | +$12,000 | $218,000 |
| Comp 2 | Excellent | $189,000 | +$19,000 | $208,000 |
| Comp 3 | Good | $143,000 | +$8,000 | $151,000 |
| Comp 4 | No score | $163,000 | +$28,000 | $191,000 |
| Comp 5 | No score | $162,000 | −$12,000 | $150,000 |
| Subject property's condition | Good | |||
| Range of the 5 adjusted prices (our calculation) | $150,000 to $218,000 | |||
| Report's estimated value | $196,343 | |||
| List price | $200,000 | |||
Estimated values. Not investment advice. Data as of 2026-10-28.
The report adjusted each sale toward the subject property. 4 of the 5 comps moved up, by $8,000 to $28,000. Comp 5 moved down by $12,000. Each figure is the report's net adjustment for every difference, property condition included. Comp 2 scored Excellent, above the subject's Good, and its net adjustment is still +$19,000.
The adjusted prices run from $150,000 to $218,000. The report gives no value range of its own, so that range is our calculation from its 5 comps. 2 of the 5 comps carry no condition score. Comp prices are rounded to the nearest $1,000.
The report's estimated value of $196,343 and the $200,000 list price both sit in the upper half of that range. The list price is $3,657 above the estimated value, or 1.9%.
How to do a CMA
- Pick 3 to 5 recent sales. Redfin's guide to the CMA sets the usual base at 3 to 5 recently sold homes, plus active and pending listings. Match the property type and neighborhood, and start with the last 90 days.
- Add active and pending listings. They show the competition a buyer sees today. Treat their prices as asks, since none has closed.
- Adjust each sale toward the subject. Add value where the subject has more, such as an extra bathroom or a garage. Subtract where the comp has more, including a better property condition.
- Set a value range. Give the closest matches the most weight. The lowest and highest adjusted prices mark the ends of the range.
- Check the range against an automated estimate for the same address. A wide gap tells you to recheck the comps. For software that builds the whole report, see our comparison of AI-powered CMA tools.
CMA vs appraisal vs AVM
All 3 put a value on a home. They differ in who builds the number and who relies on it. An AVM, or automated valuation model, is software that prices homes from data alone.
| What differs | CMA | Appraisal | AVM |
|---|---|---|---|
| Who builds it | An agent or investor | A licensed or certified appraiser | A computer model |
| What it uses | 3 to 5 sales plus listings, picked by hand | At least 3 closed sales | Public records and listing data |
| Main use | A list price or an offer | Approving a mortgage | A fast first number |
| Formal opinion of value | No | Yes | No |
Redfin notes that a lender requires an appraisal whenever financing is involved. Freddie Mac lists the appraisal fee among a buyer's closing costs. A CMA comes first and shapes the price the appraisal later tests.
Zillow reports a median error of 1.77% for its Zestimate on homes listed for sale. On off-market homes the figure rises to 7.20%. Our explainer on what an AVM is in real estate covers how these models work.
What makes a CMA more or less accurate
The supply of comps comes first. Our listing data shows 1,273 single-family sales in Tulsa, Oklahoma, over the last 6 months. 682 of them closed in the last 90 days.
About 1 in 4 Tulsa homes sold in the last 6 months scored Outdated or worse on property condition.
Property condition is the adjustment a quick CMA most often skips. We score property condition from property photos. Of the 850 Tulsa sales with a condition score, 224 scored Outdated or worse. That is 26%.
A smaller area means fewer matches. One Tulsa ZIP code had 54 single-family sales in the last 90 days. Only 23 of them scored Excellent or Good on property condition.
Age matters too. Fannie Mae asks appraisers for sales that closed within the last 12 months. In a market that moves fast, a 6-month-old sale needs a time adjustment.
Common CMA mistakes to avoid
- Using asking prices as sale prices: A list price is what a seller hopes to get. Build the value from closed sales and keep listings as context.
- Skipping the property condition adjustment: In Tulsa, 26% of the scored single-family sales in the last 6 months were Outdated or worse. Match comps on property condition, or adjust for the gap.
- Reaching too far for comps: Tulsa had 682 single-family sales in 90 days, and one ZIP code had 54. Go back further in time inside the neighborhood before you cross into another one.
- Treating the range as a price: A CMA reads past sales. It cannot see wiring behind the walls or the next buyer's offer, so rerun it as new sales close and before you sign.
Estimated values. Not investment advice. Data as of 2026-10-19.
Frequently asked questions
What is the difference between a CMA and an appraisal?
How many comps should a CMA have?
Is a Zestimate the same as a CMA?
Can I do my own CMA?
How long is a CMA good for?
Ask Sage for the comps on a property
Sage, our assistant, pulls comparable sales and an estimated value for any US address from inside the AI tool you already use.
- Homesage.ai listing data for Tulsa, Oklahoma, pulled 2026-10-19.
- Homesage.ai Full Property Report for a single-family property in Tulsa, Oklahoma, pulled 2026-10-28.
- Fannie Mae Selling Guide B4-1.3-08, comparable sales, dated 2025-06-04.
- Redfin, what is a comparative market analysis, published 2026-08-17.
- Zillow, what is a Zestimate, accuracy figures refreshed 2026-09-30.
- Freddie Mac, what are closing costs and how much will I pay, last reviewed 2026-02-26.
