By Straughan Appraisal Services | Rockwall, Texas | November 3, 2026
A Comparative Market Analysis (CMA) is one of the most useful tools available to real estate agents. It helps Realtors evaluate comparable properties, review recent sales, and develop pricing strategies for their clients.
But there is another important question:
What is the market actually doing behind those comparable sales?
Two homes may sell for similar prices, yet the transactions may tell very different stories. One may have sold quickly without seller assistance. The other may have required several price reductions, an extended marketing period, and substantial seller concessions.
Understanding those differences is increasingly important for Realtors, sellers, buyers, and appraisers throughout the Dallas–Fort Worth and North Texas residential real estate markets.
Effective February 4, 2025, Fannie Mae and Freddie Mac strengthened their appraisal reporting requirements concerning market-condition analysis.
Appraisers must support the overall market trend—whether increasing, stable, or declining—using factual market evidence covering at least 12 months.
The analysis must also support market-condition adjustments applied to comparable sales, including situations where no adjustment is warranted.
This is important because market conditions do not always move in a straight line.
A market may experience several months of increasing prices followed by a period of stability or softening. The overall 12-month trend may differ from the price movement occurring during a particular comparable sale's contract period.
For Realtors, the lesson is straightforward: A few recent sales may not explain the entire market.
Consider two hypothetical transactions:
Property A sells for $400,000 without seller concessions.
Property B sells for $400,000 with $15,000 in seller-paid closing costs or financing assistance.
Both transactions report the same sale price.
However, the financial terms are different.
Does this mean Property B was actually worth $385,000?
Not necessarily.
The effect of seller concessions on a property's sale price must be determined from market evidence. A dollar-for-dollar deduction is not automatically appropriate.
The important question is whether the concessions influenced the price a buyer was willing to pay.
When concessions become more common, they can also provide useful information about buyer negotiations, financing conditions, and seller behavior.
This is why examining reported sale prices without considering transaction terms may provide an incomplete picture.
A citywide market report may include hundreds of transactions involving homes of widely varying sizes, ages, locations, and price ranges.
But those properties may not compete directly with a particular home.
At Straughan Appraisal Services, our residential market research examines two perspectives:
Broad Market Analysis reviews overall residential activity within the selected geographic market, including sales volume and pricing patterns.
Competing Market Analysis examines properties with characteristics more closely aligned with the property or market segment being studied.
These analyses can reveal differences that may not be apparent from a general citywide report.
For example, overall citywide prices might remain relatively stable while a particular segment experiences increasing inventory, longer marketing periods, or more frequent concessions.
Mortgage lending involves two major considerations: the borrower's ability to qualify for financing and the property serving as collateral for the loan.
The lender makes the lending decision. The appraiser provides an independent opinion of market value and relevant property analysis when an appraisal is required.
Appraisers are expected to analyze market conditions and consider the effect of financing terms and concessions on comparable sales.
A Realtor who understands these considerations is better prepared to discuss pricing, transaction terms, and market evidence with buyers and sellers.
A strong CMA remains valuable. Independent market trend research can complement it.
Straughan Appraisal Services offers a three-page residential market analysis designed to help Realtors better understand and explain market conditions.
Our reports include:
Twelve-month residential market research
Broad Market and Competing Market analysis
Monthly sales activity and pricing trends
Graphs illustrating changes over time
Seller-concession analysis
Written explanations of market behavior
These reports are informational market research, not appraisals, CMAs, or opinions of property value.
Our objective is simple: Help Realtors understand the market behind the comparable sales.
Visit our Realtor Services page to view sample market analysis reports and learn more about our services.
Straughan Appraisal Services
Experience Matters.
Serving the Real Estate Industry Since 1974.
Fannie Mae — Selling Guide B4-1.3-09: Adjustments to Comparable Sales
https://selling-guide.fanniemae.com/sel/b4-1.3-09/adjustments-comparable-sales
Freddie Mac — Appraiser Report Market Analysis Requirements (September 21, 2026)
https://sf.freddiemac.com/articles/insights/appraiser-report-market-analysis-requirements
Freddie Mac — Considering Financing and Sales Concessions: A Practical Guide for Appraisers
https://sf.freddiemac.com/articles/insights/considering-financing-and-sales-concessions-a-practical-guide-for-appraisers
Class Valuation — Market Analysis Requirements and Educational Resources
https://on.classvaluation.com/market-analysis-updates
When a family member passes away, dealing with their real estate can raise questions that are unfamiliar to surviving family members, executors, and estate representatives.
One of the most important questions may be:
What was the property worth on the date the owner passed away?
The answer may require a date-of-death appraisal, also known as a retrospective real estate appraisal.
A date-of-death appraisal is an independent opinion of a property's market value as of a specific date in the past.
Unlike an appraisal developed to determine today's market value, a retrospective appraisal examines the property and market conditions applicable to an earlier effective date.
For example, if someone passed away in 2022 and the family needs to determine the home's value as of that date, an appraiser may prepare a retrospective appraisal today using relevant historical market information.
The objective is not to determine what the property would sell for today. It is to develop a supported opinion of its market value as of the specified historical date.
An independent residential appraisal may be useful for several purposes:
Estate administration and probate proceedings
Determining historical property values for inherited real estate
Supporting tax-basis documentation
Distributing real estate interests among heirs
Providing valuation information to attorneys, accountants, and estate representatives
Not every estate requires an appraisal. The need for one, and the appropriate valuation date, depend on the circumstances and the advice of the estate's legal or tax professionals.
The Internal Revenue Service provides additional information about the basis of inherited property in IRS Publication 551 — Basis of Assets.
Yes. A retrospective appraisal can often be prepared months or years after the effective date.
An appraiser may research historical property sales, public records, previous listings, market conditions, and available information about the property's physical characteristics at the time.
For example, a property may have been renovated after the owner's death. Those improvements would need to be considered carefully when developing an opinion of value as of the earlier date.
The availability and reliability of historical information are important factors in determining whether a credible retrospective appraisal can be completed.
A retrospective residential appraisal requires more than reviewing today's property values.
The appraiser considers relevant information from the historical period, which may include:
Comparable residential sales applicable to the effective date
Historical market conditions and property price trends
The property's location, site characteristics, and improvements
Available documentation of the property's condition at the earlier date
Changes to the property occurring after the effective date
The analysis must reflect the property's characteristics and the market information relevant to the historical valuation date.
Estate planning and estate settlement are related but different circumstances.
During estate planning, an attorney or financial professional may request information about the current market value of residential real estate.
After an owner's death, an executor, attorney, or tax professional may require a value as of a specific historical date.
Understanding the intended use of the appraisal helps determine the appropriate scope of work and effective date.
For general information about Texas probate procedures, visit the Texas State Law Library's Probate Guide.
Straughan Appraisal Services provides independent residential real estate appraisals for attorneys, estate representatives, executors, and individual property owners.
With more than 35 years of residential appraisal experience and involvement in the North Texas real estate industry since 1974, Stephen A. Straughan brings extensive local market knowledge to residential valuation assignments.
Services include estate and probate appraisals, date-of-death valuations, and other retrospective residential appraisal assignments.
If you have inherited residential property, are administering an estate, or need to determine a property's value as of a previous date, an independent residential appraisal may provide useful documentation.
Your attorney or tax professional can help identify the appropriate valuation requirements.
To discuss a residential appraisal in Rockwall or the surrounding North Texas area, contact Straughan Appraisal Services at www.straughanappraisals.net.
This article provides general educational information and is not legal or tax advice.
When preparing to sell a home, one of the most important decisions a homeowner makes is establishing a realistic asking price. Pricing too high can discourage qualified buyers, while pricing too low may leave money on the table.
An independent residential appraisal can provide valuable information before that decision is made.
Two homes in the same neighborhood may have significantly different market values. Differences in condition, quality of construction, renovations, lot characteristics, floor plans, and other features can influence what buyers are willing to pay.
A credible appraisal considers these characteristics along with recent comparable sales and local market conditions.
Real estate markets are not always moving in the same direction. Conditions in one neighborhood or price range may differ from those in another.
At Straughan Appraisal Services, we analyze local sales activity, market trends, and competing properties to develop well-supported opinions of market value.
An independent appraisal can help homeowners:
Better understand their property's current market value.
Identify factors that may influence buyer decisions.
Evaluate a proposed listing price.
Make informed decisions before entering the market.
An appraisal does not replace the services of a real estate agent. Rather, it provides an independent, professionally developed opinion of value that can complement the listing process.
Straughan Appraisal Services provides residential real estate appraisal services throughout Rockwall and surrounding North Texas communities.
With more than 35 years of appraisal experience, our approach emphasizes careful research, local market knowledge, and credible, supportable conclusions.
Considering selling your home? Contact Straughan Appraisal Services to discuss whether a private residential appraisal would be appropriate for your needs.