APPRAISAL VS COMPARATIVE MARKET ANALYSIS WHEN SELLING THE MARITAL HOME DURING A DIVORCE

When determining real property value in a divorce there are 2 common methods for obtaining value. You can either use an appraisal from a licenced appraiser or use a CMA from a licenced real estate professional. Both methods are acceptable but what is the difference?

A CMA or a comparative market analysis is an estimate of a home’s price used to help sellers set a listing price and help buyers make a competitive offers. The CMA uses the location, age, size, construction, style, condition, and other factors for the property and active and recently sold comparables.

An Appraisal is an unbiased professional opinion of the home’s value and the report is based on an in-person inspection and research of recent sales of similar properties.

Each method is used for a different situations regarding the marital home.  When one of the spouses is buying out the other spouse out of the marital home an appraisal is used for refinancing. If both spouses decide to sell the marital home a CMA would be a better option as it determines what the home will sell for.