Prices in an Ontario neighbourhood have risen sharply over the past year. When preparing a CMA, which comparable sales are generally the most reliable indicator of current value?
Correct Answer
A) The most recent sales of similar nearby homes
In a rising market, the most recent sales of similar homes nearby best reflect current conditions because they need the smallest time adjustment. Older sales can be used only with an adjustment for the price change, and no Ontario rule fixes a particular number of months.
Why This Is the Correct Answer
This is correct because recent sales of similar nearby homes reflect the current market with the least adjustment. When prices are rising sharply, every month of age adds error, so the freshest similar sales are the most reliable evidence.
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When conducting a CMA in Ontario, which of the following comparable sales would be most relevant for a 3-bedroom detached home built in 1985?
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