How I price a home: a walked-through CMA.
A comparative market analysis, or CMA, is the method I use to price every home I list. This page walks through exactly how the analysis works, step by step, so you can see where your home's recommended price comes from. Every figure on this page is an illustrative example for teaching purposes, never actual sales data.
What a CMA is, and is not.
A comparative market analysis is a licensed agent's estimate of what a home should sell for, built from actual closed sales of similar homes plus the current competitive picture. It is not an automated estimate, and it is not an appraisal. An appraisal is an independent, ordered valuation prepared to a formal standard for a lender; a CMA is the pricing tool agents use every day to recommend a list price.
My CMAs are built on Lee County Association of REALTORS MLS data, which is the same system the local listings, pending sales, and closed sales all run through. That means the numbers reflect what is really happening in Auburn, Opelika, and the surrounding communities, not a national algorithm.
With a finance degree from Auburn University and an MBA from UAB, plus more than two decades of Lee County closings, I treat every CMA like a financial analysis: disciplined, documented, and adjustable when the market tells me something new.
Six steps in every CMA I prepare.
1. Gather the facts on your home
A CMA starts with the subject property: square footage, bedrooms and baths, lot size, age, condition, upgrades, and location within Lee County. The more accurate these facts are, the more precise every comparison that follows will be.
2. Select the comparable sales
A comparable is a home that has actually sold recently, belongs to the same general market segment, and is similar in size, type, and location. I look for settled, closed sales from the last few months first, then broaden carefully when the neighborhood is thin. Active and pending listings inform demand, but closed sales carry the value.
3. Run the price-per-square-foot analysis
Price per square foot is a rough but useful cross-check across comps. I calculate it for each comparable, review the spread for consistency, and apply it to the subject home as a starting point. It is never the whole answer, but it catches overpricing and underpricing quickly.
4. Adjust for condition and features
No two homes are identical, so each comp is adjusted toward the subject: a comp with a finished basement instead of a crawl space, an updated kitchen versus original, a larger lot, a garage versus a carport. Each difference gets a reasoned dollar adjustment grounded in what buyers actually pay in this market.
5. Read the days-on-market context
Days on market tells me how the market is treating the price. Fast sales at full price suggest the price was right or low. Long-market-time homes that needed reductions tell me what to avoid. I also compare active competition, because your real buyer is often choosing between your home and the three similar ones still listed.
6. Set the recommended list price from LCAR data
Finally, I weigh everything against the Lee County Association of REALTORS MLS record: recent closed sales by area and price point, supply and demand trends, and seasonality. The result is a recommended list price with a defensible range, plus a plan for adjusting it if the market responds differently than expected.
The method on a real-sized example.
The example below is entirely hypothetical. The home, the comparables, and every number are invented for illustration and are not actual properties, clients, or sales in Lee County or anywhere else.
Illustrative example only. The subject home and all comparables below are fictional. No address, no client, and no figure on this page represents an actual Lee County property or transaction. Your home's analysis will be built from real, current comparables and presented to you directly.
A fictional Lee County home
- TypeSite-built single-family
- Living area1,900 sq ft
- Bedrooms / baths3 bed / 2 bath
- AgeBuilt 2008
- Lot0.45 acre, fenced
- ConditionWell maintained, original kitchen
- ExtrasTwo-car garage, covered porch
| Comparable (Illustrative) | Sold price | Sq ft | $/sq ft | Days on market |
|---|---|---|---|---|
| Comp A: 3/2, similar age, updated kitchen | $318,000 | 1,850 | $172 | 21 days |
| Comp B: 3/2, older, original condition, larger lot | $295,000 | 1,780 | $166 | 48 days |
| Comp C: 3/2, new construction, upgraded | $342,000 | 1,960 | $174 | 12 days |
Step 3 in action: the illustrative comps produce $166 to $174 per square foot, centering near $170. Applied to the fictional 1,900 sq ft subject, that suggests a starting value around $323,000 before adjustments.
Step 4 in action: Comp A has an updated kitchen, worth about $8,000 more than the subject's original kitchen, so the subject's value adjusts down roughly $8,000 against Comp A. Comp B is older with an original condition and a larger lot; the lot is worth about $6,000, offsetting some of its age disadvantage. Comp C is new construction, generally $15,000 to $25,000 above a well-maintained resale of this size.
Step 5 in action: the illustrative days on market run 12 to 48 days, with the faster sales at the higher price per foot. That tells me buyers here accept roughly $170 per square foot when the home is priced and presented well, while overpricing shows up as longer market time.
Illustrative outcome: after adjustments, the fictional analysis lands on a recommended list price of approximately $319,000, with a defensible range from about $312,000 to $325,000. The listing strategy would open near the recommended figure, supported by the LCAR market context for that price point, with a plan to reassess after the first two to three weeks of showings.
This outcome belongs to the fictional example above. It is not an estimate for any real home. Your actual CMA will use your home's facts and real, current comparables from Lee County Association of REALTORS MLS data.
How LCAR market data sharpens the price.
The Lee County Association of REALTORS MLS record is the backbone of every CMA I prepare. It tells me how many similar homes are active, how many went pending, what the closed prices were, and how long they sat. That shapes the final number in three ways.
Supply tells me how aggressive to be. With limited active inventory in a price range, buyers compete, and a price near the top of the adjusted range can still attract multiple offers. With heavy inventory, the price needs to lead the market.
Days on market tells me the penalty for overpricing. When similar homes sit 45 to 60 days and close below their original list price, asking over the market costs real money. Fresh inventory in this market typically earns attention in the first weeks, which is exactly when it is priced correctly.
Closed sales keep the price honest. County-wide, Lee County Association of REALTORS MLS data shows closed transactions ranging from $57,800 to $1.46 million, and that spread is why a generic number is useless: every Lee County home needs its own comparison set, and that is what the CMA provides.
Source: Lee County Association of REALTORS MLS, transactions closed 2008 through August 2026.
Now let's do it with your home's real numbers.
This page showed you the method with made-up numbers. The free valuation uses your actual home and real, current comparables, prepared the same disciplined way.
This guide was written by Rozi Dover, AI Certified Realtor® and Associate Broker with HomeLink Realty, serving Auburn, Opelika, and Lee County for more than two decades. Contact her at 334.663.0077.
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