• Tammy Andreakos

Appraisal, assessment and comparative Market Analysis(CMA) ..what's the difference?

Updated: Nov 18, 2019

Let's start with the later, the CMA, because in my opinion its the one that is going to be most relevant to understanding the actual present, real time value of your property.

With a CMA, the approximate current market value of the property is determined by comparing your home to that of similar properties recently sold in your area. By knowing how your property specifically compares to others as well as the specific features that could set it apart from other homes on the market, a value of your home is determined from those comparable statistics. The one thing to always keep in mind is that your home is at the end of the day only worth what someone else is willing to pay for it. So even if a price is set using this method, it does not mean that the home will sell for exactly that price. Many times, especially when there are more buyers than sellers of real estate, the property will sell for more, sometimes much more than the price calculated in the CMA.


An appraisal is a much more formal method of determining a home’s price. A licensed appraiser is needed for this process in Ontario (holding a designation from the Appraisal Institute of Canada or the Canadian National Association of Real Estate Appraisers), and although they begin with the same information used to create a CMA, they will also take into account a laundry list of other factors that may affect the property’s value, including the properties age, building materials, design, square footage, location, overall condition, lot size, quality of finishes, and improvements made, to name just a few.


Official Property Assessments are used more for calculating property taxes and are completed by MPAC, the Municipal Property Assessment Corporation. Although this is carried out on behalf of the provincial government, it is a much more basic process and these valuations are often much less than the current value of a home, often because these evaluations are not very up to date.

If you are looking for help buying, selling or investing in real estate myself and my real estate team are here to help. We specialize in real estate in Aurora, real estate in Newmarket, real estate in Richmond Hill and real estate in Vaughan. We also help with investing in real estate in pre-construction condominiums all over Toronto and the GTA. Whatever your direction in real estate, you can always turntotammy.

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