How an Austin CMA Works: What Goes Into a Comp-Backed Pricing Analysis

A Comparative Market Analysis is the pricing tool that sits between an online estimate and a formal appraisal. For Austin sellers, it is the primary document that turns raw market data into a pricing decision.

Here is how we build one, what goes into each component, and what makes a luxury CMA different from a standard analysis.

"Every CMA I prepare starts the same way: recent comparable sales, hand-selected and adjusted for the specific property. But the depth of analysis scales with the property. A $500K condo in the Domain takes 1-2 hours. A $4M waterfront on Lake Austin with a grandfathered dock permit can take 8-10 hours, because every comp requires significant adjustment." --- Joe Keenan, Broker Associate, #1 ABOR Team 2024

What a CMA Is (and Is Not)

A CMA is a pricing opinion prepared by a licensed real estate agent. It draws on recent transaction data, active competition, and property-specific factors to produce a recommended listing price range.

A CMA is not:

• A formal appraisal (which requires a state-licensed appraiser and follows USPAP standards)
• A guarantee of sale price (market conditions can shift between CMA and closing)
• An automated valuation (which uses algorithms without seeing the property)

A CMA is the tool sellers use to make pricing decisions. An appraisal is the tool lenders use to approve financing.

The Six Components of a Keenan Group CMA

1. Comparable Sales Selection

We start with sold properties that match yours on the factors buyers actually compare:

• Location: Within 0.5-1 mile, same school zone, same neighborhood or micro-market
• Recency: Sold within the last 3-6 months (extending to 12 months for unique properties)
• Size: Within 20% of your square footage and similar lot size
• Style: Same construction era and architectural category
• Condition: Similar renovation level (original, partially updated, fully renovated, new construction)

For standard Austin homes, we typically identify 5-8 strong comps. For luxury or unique properties, 3-5 comps with significant adjustments is more common.

2. Active Competition Analysis

Your home does not sell in isolation. Buyers compare every listing in their search criteria. We analyze:

• Current active listings in your price band and school district
• Days on market for active inventory (indicating absorption rate)
• Pending sales (showing what buyers are choosing right now)
• Price reductions (indicating where original pricing missed)

This component tells you what you are competing against, not just what has already sold.

3. TCAD Cross-Reference

We pull your Travis County Appraisal District record and compare:

• Assessed value vs recent comparable sales
• Homestead cap impact on long-held properties
• Recent permits that may have changed TCAD's improvement value
• Tax protest potential (if assessment exceeds supported market value)

TCAD is one data point, not the answer. For a deeper look at where TCAD diverges from market value, read our TCAD vs market value guide.

4. Neighborhood Market Trends

We pull current market metrics for your specific neighborhood:

• Median sold price (trailing 12 months)
• Median days on market
• Sale-to-list ratio (how close sellers get to asking price)
• Months of supply (indicating buyer vs seller conditions)
• Price band distribution (where your home falls relative to neighborhood sales)

These metrics come from MLS Grid data, not national aggregators. They reflect actual Austin transactions.

5. Property Adjustments

This is where agent expertise matters most. We make line-item adjustments for every material difference between your home and each comp:

• Square footage: Typically $150-$350/sqft depending on neighborhood and quality
• Lot size: Premium for half-acre+ lots varies by neighborhood ($50K-$300K+)
• Pool: Adds $25K-$75K in most Austin neighborhoods; more for infinity or negative-edge
• Garage: 2-car vs 3-car, attached vs detached, conditioned or not
• Condition: The largest variable. A full renovation can add $200K-$500K+ on a luxury home
• View: Hill Country, lake, or downtown views command 10-25% premiums
• Waterfront: LCRA dock permits, shoreline type, and water depth create unique adjustment layers

6. Pricing Strategy

The final output is not a single number. It is a recommended range with three positioning options:

• Price for speed: Below the middle of the comp range. Generates multiple offers and typically sells in under 14 days. Best when you need certainty and fast timeline.
• Price at market: At the middle of the comp range. Attracts serious buyers without leaving significant money on the table. Typical DOM: 21-45 days.
• Price for premium: At or above the top of the range. Requires patience, strong condition, and favorable market timing. Typical DOM: 45-90+ days with possible price reduction.

We present all three with specific dollar ranges and the trade-offs of each.

What Makes a Luxury CMA Different

Standard CMAs compare similar homes in similar neighborhoods. Luxury CMAs face additional challenges:

• Thin comp pools. A $5M home in Barton Creek may have 2-3 comparable sales in the last 12 months. Each requires detailed adjustment.
• Unique features. Wine cellars, guest houses, home theaters, and custom landscaping require individual valuation.
• Waterfront complexity. Lake Austin dock permits, shoreline footage, water depth, and LCRA regulations create a separate valuation layer.
• Land value separation. On estates with acreage, the land component may represent 30-50% of total value and requires separate analysis.
• Buyer pool dynamics. Luxury buyers shop across neighborhoods. A $4M buyer in Tarrytown is also considering Westlake Hills, Barton Creek, and Rob Roy.

A standard CMA takes 1-2 hours. A luxury CMA takes 4-10 hours, depending on property complexity.

Timeline and Cost

When to Request a CMA

• Before listing. The most common use. Request within 30 days of your target listing date for the freshest comp data.
• Annual equity check. Track your home's value year over year for financial planning.
• Tax protest preparation. If your TCAD assessment exceeds what recent comps support, a CMA provides protest evidence.
• Estate or divorce planning. Both require current fair market value, not TCAD.
• Refinance positioning. Know your home's approximate value before the lender orders an appraisal.
• Pre-renovation planning. Understand your baseline value before investing in improvements.

"The best time to request a CMA is when you are starting to think about selling, not when you have already decided. The market data may change your timeline, your pricing expectation, or your renovation priorities. Better to know early." --- Cara Keenan, Broker Associate, Compass

Request a Free CMA

The Keenan Group provides complimentary CMAs for Austin homeowners. No obligation to list. We deliver a preliminary pricing range within 24-48 hours, backed by recent comparable sales and 25+ years of local expertise.

Get a home valuation for an instant estimate, or request a full CMA with property-specific adjustments and competitive analysis.

See the Keenan Group's track record across 1,000+ Austin transactions, or explore seller resources for pricing strategy, prep, and Compass marketing tools.

Neighborhood-specific valuation context: Tarrytown | Westlake Hills | Northwest Hills | Lake Austin | 78746 | 78703