Are you trying to price a home in Morganton and keep hearing about CMAs and appraisals? It is easy to mix them up when you just want a clear number you can trust. In this guide, you will learn what each one is, how they are done, when to use them, and how they affect your sale or purchase in Burke County. You will also get simple steps to avoid surprises at closing. Let’s dive in.
What a CMA is
A Comparative Market Analysis, or CMA, is an estimate of your home’s likely market value based on similar homes that recently sold, plus current active and pending listings. A CMA is prepared by a licensed real estate agent or broker. It helps you set a smart list price or write a competitive offer.
A CMA is an opinion, not an appraisal. It does not follow USPAP standards and it is not used by mortgage lenders for underwriting. In North Carolina, agents are licensed by the North Carolina Real Estate Commission, and they can prepare CMAs as part of brokerage services.
What an appraisal is
An appraisal is a formal, written valuation done by a state-licensed or state-certified appraiser. Lenders use appraisals to help approve mortgages for purchases and refinances. Appraisals must follow professional standards. The Consumer Financial Protection Bureau explains the basics in its overview of what an appraisal is.
Appraisers work under USPAP, the professional standards maintained by The Appraisal Foundation. In North Carolina, you can verify an appraiser’s license with the North Carolina Appraisal Board.
CMA vs appraisal differences
Here is how these two tools differ in practice:
- Who prepares it: A CMA is done by a licensed real estate agent. An appraisal is done by a state-licensed or certified appraiser.
- Purpose: A CMA guides pricing and offer strategy. An appraisal is used for mortgage underwriting and for legal, tax, or estate needs.
- Standards: A CMA is an informed opinion. An appraisal follows USPAP and state rules.
- Documentation: A CMA format varies by agent. An appraisal includes a formal report with photos, measurements, comparable sales, and a reconciled value.
- Use in loans: Lenders do not use CMAs. Lenders require appraisals for most mortgages.
- Cost and timing: Agents often provide CMAs at no cost to clients. Appraisals are paid services that typically cost a few hundred dollars and take about 7 to 14 days, depending on availability.
How values are produced
Both CMAs and appraisals often use the Sales Comparison Approach. This means comparing your property to similar recent sales and adjusting for differences like size, condition, and location.
- CMAs rely on MLS sales and active or pending listings, public records, and local knowledge. The depth and accuracy depend on the agent’s skill and the data available.
- Appraisals include a physical inspection of the property, verified comparable sales, neighborhood and site analysis, and sometimes the Cost Approach or Income Approach when relevant. The report documents the steps taken and the final reconciled value.
Morganton market factors
Morganton and Burke County offer a mix of historic downtown homes, newer subdivisions, rural acreage, and properties near outdoor recreation. That variety can make picking true comparables harder. Smaller sample sizes for unique homes or large lots can widen the gap between a CMA and an appraisal.
Certain property types also add complexity:
- Older homes with updates or deferred maintenance, where an appraiser’s inspection may reveal condition items not reflected in a CMA.
- Manufactured homes, acreage tracts, and properties with barns or detached garages that need special adjustments.
- Homes near water or in special-zoned areas, including floodplains, which may affect value and lender requirements.
When to use each
Use a CMA when you want to set a list price, plan a pricing strategy, or craft a competitive offer. A strong CMA helps you understand the current competition and buyer demand.
Use an appraisal when a lender requires it or when you need a formal valuation for legal, estate, or tax purposes. You can also order a private appraisal for peace of mind if you want an independent, documented value before listing or before removing contingencies.
Why values can differ
Even careful CMAs and appraisals can land on different numbers. Common reasons include:
- Timing. Markets shift. A CMA built from active listings might be higher than an appraisal written weeks later after slower sales.
- Data differences. CMAs may rely on unverified details or on planned upgrades. Appraisers verify condition, measurements, and permits, and adjust for deferred maintenance.
- Lender risk tolerance. Appraisers working for lenders may select more conservative comparables or adjustments.
- Limited comps. Rural or unique properties around Morganton may not have many true comparables, which can widen the spread between opinions.
If there is a gap, you can renegotiate, provide additional comparables, cover a shortfall with more down payment, or in some cases pursue a second appraisal under lender rules.
Cost and timing
You will likely receive a CMA from your agent as part of listing or offer services. A residential appraisal is a paid service that typically costs a few hundred to several hundred dollars. Delivery often takes 7 to 14 days from order date, depending on appraiser workload and lender timelines. In Morganton, turnaround can be faster than in large metro areas, but you should confirm with local appraisal firms and your lender.
Ready-to-use checklists
Seller checklist for Morganton
- Ask your agent for an MLS-backed CMA that shows recent solds, plus current active and pending listings.
- Gather receipts and permits for upgrades, plus dates and costs of major improvements.
- Prepare a features list that highlights condition, systems, and any outbuildings.
- Confirm lot size and tax records with the Burke County Tax Department, and share any surveys you have.
- Make the property easy to inspect and provide access to crawl spaces, attics, and detached structures.
Buyer checklist for Morganton
- Request a CMA from your agent to understand fair value and competition.
- Review your appraisal contingency and how it affects your loan amount and earnest money.
- If you expect a tight appraisal, plan options: renegotiate, bring extra funds, or work with your lender on a reconsideration of value.
- For unique properties, discuss ordering a private appraisal for added confidence.
Get local guidance
When you are buying or selling in Morganton or across Burke County, the right valuation approach helps you avoid delays and protect your bottom line. A strong CMA sets the strategy, and a compliant appraisal satisfies the lender and keeps your deal moving.
If you want clear pricing advice, local comps, and support through the appraisal process, connect with Tim Newton. You will get hands-on guidance backed by deep local experience and trusted brokerage resources.
FAQs
Can a CMA be used to get a mortgage?
- No. Lenders require a licensed appraiser’s appraisal for mortgage underwriting, and a CMA is an agent’s opinion, not an appraisal.
Which is more accurate for lending: CMA or appraisal?
- An appraisal is generally more authoritative for lending because it follows USPAP standards and includes verified data and a formal report.
Can I order my own appraisal in North Carolina?
- Yes. You can hire a private appraiser and pay out of pocket, but for mortgages the lender usually orders the appraisal to meet their process.
What if the appraisal is below the contract price?
- Typical options include renegotiating price, the buyer bringing extra cash, challenging the appraisal with additional comps, or pursuing a second appraisal if allowed.
How can a seller reduce the chance of a low appraisal?
- Provide a packet with recent comparable sales, documented improvements and receipts, and make the home easy to inspect. Share accurate records and upgrades with the appraiser.
