own factors to arrive at your offer. The two aren’t necessarily related. An important component is a Comparative Market Analysis (CMA), which your real estate agent can provide—another benefit of working with a buyer’s agent—and is a mathematical model to find out the value of your future home. It calculates the basic conditions, such as the number of bedrooms, bathrooms, existence/size of the yard, or swimming pool. Then, it compares your potential home to similar houses on the market in your area. This model will give you an idea of the average local cost, which will be fundamental information to inform your offer. After identifying comparable properties, add or remove the components that respectively increase or decrease the value. For example, maybe you know that the current owners have recently changed all the plumbing in the house, or conversely, that their plumbing is 45 years old and will probably start breaking down soon. Get estimates for any necessary immediate repairs, or ask for estimates. Research the market trends. Has the local market gone up or down over the last few years? Do people buy or sell more? Are there houses being built that will soon be for sale? For example, the prevalence of teardowns and new construction would indicate rising local home prices. Those calculations and forecasts may take time and effort, but they will ideally leave you with options to consider and choose from. A real estate agent’s services will be very helpful. It won’t take a professional as much time to evaluate all the pros and cons affecting the property so they can give you a realistic estimate of the home's current market value. Your real estate agent will help you through this process soon. The agent may provide guidance on the offering price and other
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