Comparative Market Analysis (CMA) - Time & Process

Rehabbing & House Flipping
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Comparative Market Analysis (CMA) - Time & Process

Sven Simon
Real Estate Investor · Los Angeles, CA · Member since 2013 · 34 posts · 5 votes

To our Flippers out there:

I'm wondering about a few questions related to a CMA for a property you're interested in:

  1. Would you always personally do a CMA or have your agent/broker do it?
  2. How much time would you spend on a good CMA?
  3. What's your process/tools?

Thanks, all!

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Michael Woodward
Real Estate Investor · Greenback, TN · Member since 2012 · 268 posts · 115 votes
12y

@Sven Simon , Sorry it took so long to reply.....busy week....as usual.

Yes, by "looking at the house" I mean, physically on the premises. I spend about 10 minutes per house analyzing the online data to determine if it's worth a physical visit. The rest of the "two hours" is drive-time, walking the property, taking notes, etc.

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  • Michael Woodward
    Real Estate Investor · Greenback, TN · Member since 2012 · 268 posts · 115 votes
    12y

    @Sven Simon ,

    1. Both....I always analyze my properties and then have my agent do the same. I never rely on only one set of numbers.

    2. Roughly two hours depending on the house. The bulk of that time is spent looking at the house and making notes. If you have (personal) historical data, the process is much faster than having to start from scratch. You will also want a "weed-out" process to narrow your prospects (minimum price per foot, etc) or you will get overwhelmed with the time it takes to analyze deals.

    3. I think there are a few property analysis tools here in B.P. Check out the "Resources" area.

    Good luck!

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  • Sven Simon
    OP
    Real Estate Investor · Los Angeles, CA · Member since 2013 · 34 posts · 5 votes
    12y

    @Michael Woodward

    Thank your for your straight-forward response. It all makes total sense. I got one quick follow up question:

    When you say 'looking at the house', you meant to actually be at the property to inspect it in detail or do you mean taking apart the details online? I'm just wondering to get a feel for what's truly been working.

    Thank you!

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  • Michael Woodward
    Real Estate Investor · Greenback, TN · Member since 2012 · 268 posts · 115 votes
    12y

    @Sven Simon , Sorry it took so long to reply.....busy week....as usual.

    Yes, by "looking at the house" I mean, physically on the premises. I spend about 10 minutes per house analyzing the online data to determine if it's worth a physical visit. The rest of the "two hours" is drive-time, walking the property, taking notes, etc.

    1Reply
  • Sven Simon
    OP
    Real Estate Investor · Los Angeles, CA · Member since 2013 · 34 posts · 5 votes
    12y

    Thanks, @Michael Woodward - that's what I thought. Great information and really go to know/verify! Thanks a lot!

    I'll connect with you aside from this thread, if you don't mind.

    Have a good weekend!

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  • Lipa F.
    Investor · Member since 2024 · 76 posts · 27 votes
    7mo

    AI cannot create a accurate CMA this needs human as of now

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  • Lipa F.
    Investor · Member since 2024 · 76 posts · 27 votes
    7mo

    Maybe for properties that has clear cut comps but for more coplicated properties it needs human i tried this program for 3 properties completely wrong.

    0Reply
  • Peter MckernanBusiness Member
    Residential Real Estate Agent · Irvine, CA · Member since 2013 · 2k+ posts · 1k+ votes
    7mo
    Quote from @Sven Simon:

    To our Flippers out there:

    I'm wondering about a few questions related to a CMA for a property you're interested in:

    1. Would you always personally do a CMA or have your agent/broker do it?
    2. How much time would you spend on a good CMA?
    3. What's your process/tools?

    Thanks, all!


     Great questions..

    CMA/Comps you really should have two eyes. You might sometimes (I do) miss something, a comp that is solid to use for the property, or see some value at the time that really is not there. It is always good to bounce things off each other (you and your area you use) and get a second set of eyes to really zero in on comps. I don't spend a lot of time on making a CMA for flips, but knowing the comps for the project I really want to know before pulling the trigger on the deal. The MLS is the best and the most accurate place to find comps, do a CMA and really know the data to be confident that you can sell it for that price you want to sell it for when you are done with the project.

    The McKernan Group4.957 Reviews
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  • Bo SmithPro Member
    Hinton, WV · Member since 2026 · 1k+ posts · 373 votes
    7mo

    I do my own but double-check with my agent on tricky ones. Pro tip - check pending sales, not just closed. Shows what buyers are paying now vs 3 months ago. What's your usual comp process?

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  • Lipa F.
    Investor · Member since 2024 · 76 posts · 27 votes
    7mo

    When reviewing comps, you always have to consider the entire market context. In some markets, a two-story home and a one-story home can be comparable; in others, they’re not. Some markets require adjustments, while others not
    In certain areas, a 300-square-foot difference matters a lot; in other markets, it barely moves the needle. The same goes for bathrooms — in some places, a two-bath home compared to a one-bath home isn’t a true comp, while in other markets it can be acceptable. Age and condition can also be a major factor in some markets are huge difference and some markets not

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