A real estate agent is preparing a CMA for a 3-bedroom bungalow. Which property would be the BEST comparable sale?
Correct Answer
B) A 3-bedroom bungalow sold 1 month ago in the same neighborhood
The best comparable combines the most similar physical characteristics (3-bedroom bungalow) with the most recent sale date (1 month) and closest location (same neighborhood). This provides the most reliable indication of current market value with minimal need for adjustments.
Why This Is the Correct Answer
Option B represents the ideal comparable sale for CMA purposes because it matches all three critical criteria: identical property type (3-bedroom bungalow), most recent sale date (1 month ago), and same location (same neighborhood). This combination minimizes the need for adjustments and provides the most accurate reflection of current market value. The physical similarity ensures structural comparability, while the recent sale date and identical location maximize reliability and relevance for pricing the subject property.
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Previous Question
A real estate agent is preparing a CMA for a 2,000 square foot bungalow. A comparable property sold for $450,000 but has an additional 300 square feet. If the adjustment is $150 per square foot, what is the adjusted sale price of the comparable?
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A rental property in Vancouver generates $4,000 monthly rent with annual operating expenses of $18,000. Using a capitalization rate of 5%, what is the estimated value using the income approach?