I have a client who wants to sell his 3br/2ba home that also includes a studio, and a duplex. Besides other properties that might be similar, what should I be looking for when doing a CMA?

Doing an investors CMA on a property is a completely different ball of wax than the garden variety CMA that most agents do for folks buying their own home.

An investor does not give a damn about what the other properties sold for, value is totally determined by what it can earn vs. what it costs to maintain. This assumes the investor is a hold and rent type. Its a different proposition if we are talking about a quick turn around investor.

If you are creating a CMA for an investor, you need to find out what you can about what that house has rented for (if it has been rented at all). If this has always been a owner occupied residence, you need to pin down what it would rent for. Local property management firms can probably give you an idea of this. Make sure and talk to more than one tho - there are some very big morons willing to give advice at some property management firms.

SFR homes are tough for investors, since there is usually competition from "normal" buyers. In my market, the normal buyer is almost always willing to pay more than an investor would be willing to pay for it. This becomes less of a problem when dealing with more distressed properties - but that is really a whole other topic.

R

Damn...

Did I just go way too off into the investor tall grass on that one and kind of miss your point?

Sorry if thats the case.

Let me know if you want me to try and clarify anything I posted there.

R