How to Establish a Fair Market Value of a Home

Real Estate Agent

• 1). Find and hire a real estate agent. If you are a buyer then you should hire a buyer's real estate agent.
  
  
• 2). Request your real estate agent to create a CMA. A real estate agent possesses the ability to create what is called a Comparable Market Analysis (CMA). A CMA provides you with a review of the housing activities in the area where the home you want to value is located. It works by taking 3 to 10 homes that have similar size and amenities to the home you want valued, and then giving you the price listed by the sellers who are selling those homes.
  
  
• 3). Analyze the CMA's listing of those homes that have been contracted to buyers but not yet sold as well as those homes that have already been sold. These homes show the fair market value of homes more accurately because they show what home buyers are willing to pay and what home sellers are willing to sell.