The Erc Broker Market Analysis form is a tool that allows real estate brokers to evaluate a property's condition, competition, and future marketability. This analysis helps brokers estimate the property's Most Likely Sales Price, but it is important to note that it is not an appraisal or home inspection. Proper completion of this form requires adherence to state-specific disclosure requirements.
The ERC Broker Market Analysis form is designed to help real estate brokers assess a property's condition, competition, and future marketability. By conducting a thorough analysis, brokers can estimate the property’s Most Likely Sales Price (MLSP). It is important to note that this report is not a home inspection or an appraisal and should not be used as such. The analysis focuses on comparative market data rather than adhering to formal appraisal standards.
To accurately fill out the ERC Broker Market Analysis form, several key pieces of information are needed. This includes details about the property such as its address, current ownership, and condition. Additionally, information about the homeowner and the requesting company is required. Brokers should also note any improvements made to the property, its current listing status, and any relevant locational issues that may impact its marketability. A comprehensive understanding of the neighborhood and broader market area is essential for a complete analysis.
The Most Likely Sales Price is estimated based on the property’s current condition and market factors. Brokers consider various aspects, including recent comparable sales in the area, the property’s features, and its marketing time frame, which should not exceed 120 days unless otherwise directed by the client. The analysis should reflect the property "as is," meaning no repairs or improvements are assumed to be made before sale.
Brokers must be aware of any state-specific disclosure requirements that may apply to the property being analyzed. This means including any necessary disclosures within the form that pertain to the property’s condition or any legal obligations. It is crucial for brokers to stay informed about these regulations to ensure compliance and protect both themselves and their clients during the sales process.
This form is not an appraisal. It is a comparative market analysis designed to estimate the Most Likely Sales Price based on property condition and market factors.
It does not serve as a home inspection. The purpose is to analyze market conditions and property features, not to assess structural integrity or safety.
The price estimate is based on current market conditions and is not a guarantee of sale or final price.
Only trained brokers familiar with the form's guidelines and local market conditions should complete it.
State-specific disclosure requirements may vary. Brokers must ensure they comply with local regulations when using the form.
The analysis considers various factors, including property condition, competition, and market trends, not just sales data.
While it covers a range of property types, the analysis is tailored for specific conditions and types outlined in the form.
The report is useful for both buyers and sellers, providing insights into property value and market conditions.
The form has an expiration date. Users should ensure they are using the most current version to reflect the latest market conditions.
While it provides an estimate based on market conditions, it does not guarantee the speed at which a property will sell.
Incomplete Information: Failing to fill in all required fields, such as the homeowner's contact details or property address, can lead to delays in processing the analysis.
Incorrect Property Type: Misidentifying the property type, whether it be a condo, single-family home, or other classifications, can skew the market analysis significantly.
Omitting Improvements: Not listing improvements made to the property can result in an inaccurate assessment of its market value.
Neglecting Local Disclosure Requirements: Each state may have specific disclosure requirements. Ignoring these can lead to legal complications or incomplete analyses.
Inaccurate Market Comparisons: Using outdated or irrelevant comparable sales can distort the estimated Most Likely Sales Price (MLSP), leading to misinformed decisions.
Ignoring Condition Issues: Not adequately addressing property condition issues, such as structural problems or maintenance needs, can mislead potential buyers about the property’s true value.
Failure to Anticipate Financing Issues: Not considering potential financing challenges, such as zoning or environmental issues, can create obstacles in the selling process.
Worldwide ERC® Broker’s Market Analysis and Strategy Report
Purpose: This report is designed to enable the real estate broker to conduct a diligent analysis of the subject property’s condition, competition, and future marketability. Based on this analysis, the broker is to estimate the subject property’s Most Likely Sales Price.
This is not a home inspection. Nor is this an appraisal; this comparative market analysis has not been performed in accordance with the Uniform Standards of Professional Appraisal Practice. It is not to be construed as an appraisal and may not be used as such for any purpose. Preparers of this form need to be aware of any state-specific disclosure requirements and include them in this form as appropriate.
Procedural Guidelines: For procedures on contacting homeowner, inspecting property, submitting report, and providing photos, follow the requesting company’s guidelines. The Most Likely Sales Price (MLSP) is based on “as is” condition and a marketing time not to exceed 120 days to a contract of sale or as directed by the client.
INFORMATION
File #:
Homeowner(s):
Property Address:
Home Phone #:
City, State, Zip:
Work Phone #:
BMA Requested by (Co. & Contact):
e-mail:
Requesting Co. Address:
Phone #:
Fax #:
ASSIGNMENT
Real Estate Firm:
Contact Name:
Real Estate Firm Address:
Agent Preparer:
Homeowner’s purchase price: $
Date purchased:
Improvements made by homeowner if any:
Is the subject currently listed?
□ Yes
□ No
Listing Company/Agent:
Form of Ownership:
□ Fee Simple
□ Leasehold
Occupant:
□ Homeowner
□ Tenant
□ Vacant
Type: □ Condo
Coop
PUD
Single Family
Mixed Use
Town House
Modular
Mobile Home
SUBJECT
□ Other:
Indicate any personal property that remains (e.g., refrigerator, range, etc):
Subject’s location type:
□ Urban
□ Suburban
□ Distant suburban
□ Rural
□ Farm
□ Resort
Lot Characteristics: positive/negative (explain):
Subject’s view: positive/negative (explain):
Locational issues OF WHICH you are aware that may affect the insurability of the property:
LOCATION
Site Characteristics of which you are aware (check all that apply):
□ Private Street Access
□ Private Street Maintenance
□ Gated
□ Alley
□ Easements/Encroachments
□ Sidewalk
□ Curbs/Gutters
□ Street Lighting
□ Paved Street Surface
□ Paved Driveway Surface
Miscellaneous of which you are aware (check all that apply):
□ Maintenance issues with neighboring properties
□ Excess acreage or land
□ Mobile homes/trailer park nearby
□ Subject located on or near designated environmental sites
□ Location next to agricultural area
□ Close proximity to hospital/firehouse, etc.
□ Neighborhood has restrictive covenants
□ Subject located near railroad tracks
□ Audible street or highway noise present
□ Located on or backs up to busy/main street
□ Location in flood plain
□ Location in earthquake zone
□ Location next to school or public park
□ Property located on corner lot
□ Access to subject property
□ Location near/in view of power lines/water towers/ radio towers
□ Location next to industrial area
□ Located on airport flight path
□ Additional Comments:
Check all other items of which you are aware that may affect the marketability or value of the subject property and comment below:
□ Style of home not typical for the area
□ Subject is over improved
□ Subject is under improved
MISCELLANEOUS
□ Inadequate parking
□ Functional obsolescence
□ Steep driveway
□ Proposed land use change
□ Little sales activity in area or price range
□ Estimated time to sell is more than 120 days
□ Proposed or pending assessments
□ Property taxes not typical for area
□ HOA has first right of refusal
□ HOA does not allow “for sale” signs on property
□ HOA fees not typical for the area
□ Other
Comments:
Copyright © 2008 by Worldwide ERC®
Rev. 01/07/2009
This Form Expires 12/31/2009
Page 1 of 6
SUBJECT CONDITION
INSPECTIONS/DISCLOSURES
Property Condition
For all the following of which you are aware or observe in viewing the property, check the appropriate box(es) and describe:
□Décor of home is personalized or dated:
□Incomplete construction:
□Evidence of past or present water damage:
□Cracks or stains on walls, floors, or ceilings:
□Oil tank (abandoned):
□Oil tank (in use):
□Underground storage tank (abandoned):
□Underground storage tank (in use):
□Synthetic stucco:
□Suspected structural problems:
□Evidence of odor:
□Evidence of pet damage:
□Evidence of deferred maintenance: Additional Comments:
Recommended Repairs and Improvements
Interior Items
R&I Estimates
□ Paint
Estimated cost per item: $
Comment:
□ Flooring
□ Wall paper removal
□ Appliances
□ Cabinets
□ Light fixtures
□ Countertops
□ Bathroom fixtures
Total Estimated Cost for Interior Repairs
$
Exterior Items
□ Landscaping
□ Driveway/walkway
□ Porch/deck
□ Pool
□ Spa
Estimated cost per item :$
□ Gutters
□ Siding
□ Trim
□ Roof
□ Detached structures
□ Debris removal
□ Windows and screens
Total Estimated Cost for Exterior RepairS
List all required, customary and additionally recommended inspections (e.g., municipal, certificate of occupancy, environmental, etc.): Required:
Customary:
Additionally recommended for the subject property:
Subject property issues OF WHICH you are aware that may affect insurability of the subject property:
List all required disclosures:
Page 2 of 6
Identify the most probable means of financing for the subject:
□ FHA
□ VA
□ Cash
□ Conventional mortgage—conforming or jumbo
Describe the terms of the financing type identified above:
Identify and describe any financing concessions that may be necessary to secure the sale of the subject property.
□ Points:
□ Closing Costs:
FINANCING
Do you anticipate any issues that may affect the ability to secure financing for the subject property (e.g., condition, zoning, environmental, HOA, etc.)?
□ Yes □ No
If yes, comment:
If the subject property is a common interest development (e.g., condo, townhouse, PUD), what is the ratio of owners to investors?
□ N/A
Owners:
%
Investors:
(total MUST equal 100%)
HOA Fees: $
How often are they paid?
□ Monthly
□ Quarterly
□ Semi-annually
□ Annually
Items included in HOA Fees: □ Trash Pick-up
□ Snow Removal
□ Exterior Building Maintenance
□ Security/Concierge Services
□ Insurance
□ Taxes
□ Amenities
□ Common Area Maintenance
WATER
SEWER
Are you aware of any special assessments covered by the HOA?
If yes, indicate the amount of assessment: $
Describe what the special assessment covers:
Subject Neighborhood (For purposes of this report, the subject neighborhood is defined by the preparer of this form. Identify what you regard as the
subject neighborhood and then use statistics that you have gathered which reflect that market area. Note: the neighborhood might be a MLS area, a
particular section of a town, a specific subdivision, or an entire community. This is described as the “micro area.”)
Subject neighborhood is defined as:
Price Range: $
to $
Property Values are: □ Increasing
% in past
months
□ Stable
Average Days-on-Market (list to contract)
days
□ Decreasing
(# of days)
Calculate the months supply of inventory (Absorption Rate):
Type of competing listings
New Homes
Resale
Number of active listings ÷
Avg. number of sales per month
=
Number of months needed
REO/Foreclosure
for the last 6 months
to sell existing inventory
Corporate
Total (MUST equal 100%)
100%
Describe all marketing concessions/incentives being offered to buyers and/or brokers on competing properties:
CONDITIONS
Recommend any marketing concessions/incentives that should be offered for the subject:
MARKET
Describe major corporation(s) in this neighborhood that are moving into, out of, or planning layoffs:
Describe current economic conditions (positive or negative) that may have an Effect on the marketability of the property:
Broader Market Area (For purposes of this report, the broader market area is defined as that area beyond the subject neighborhood in which buyers will
look for comparable properties. This is described as the “macro area.” In some instances, the broader market area will be the same as the subject’s
neighborhood. If this is the case, indicate it below.)
What do you consider the “broader market area” to be for this property?
Are there any specific issues in the broader market area which are not reflected in the specific neighborhood that might affect the sale of the subject property? Consider types of competing homes (e.g., new construction, REO’s); incentives or concessions that are occurring; economic conditions; a dramatically different price range than the subject; days on market; etc.
This Form Expire 12/31/2009
Page 3 of 6
COMPETING LISTINGS
ITEM
Competing Listing #1
Competing Listing #2
Competing Listing #3
Address, City
Current MLS #
Proximity to Subject
Original List Price
Current List Price
Seller Concessions
Last Price Change Date
Days-on-market (DOM)
from original list date
Previous listing history for last
Orig. List Price $
Last List Price $
Last List Price
12 months
DOM:
Style
□ Brick
□ Wood
□ Composite
□ Stone
Exterior Finish
□ Aluminum
□ Stucco
(Check all that apply)
□ Synthetic Stucco
□ Vinyl
□ Hardcoat Stucco
□ Slate
Roof Type
□ Tar
□ Tile
□ Wood shake
□ Tin
□ Asphalt shingle
□ Copper
□ None
□ Garage
# of Cars
□ Attached
Car Storage/Type
□ Detached
□ Built-in
□ Carport
Year Built
Lot Size
Appx. Gross Living Area
Sq. Ft
Above Grade Room Count
Tot
Brms.
Baths
Tot.
Basement
□ Partial
□ SLAB
□ Full
□ Crawl Space
WALK-OUT
Basement Finish
Attic (Check all that apply)
Attic Access
□ Walkup
□ Hatch
□ Pull down steps
Bonus Room
□ Barn
Detached Structures
□ Guest House
□ Studio
□ Pool House
□ Shed
Deck/Patio
Pool/Spa
Fireplace(s)
□ Public
□ Private
Water Supply
□ Community
□ Well
□ Septic
□ Sewer
Waste Disposal
□ Cesspool
Type of Air Conditioning
□ Central
□ Window/Wall
□ Heat Pump
□ Gas
□ Propane
□ Electric
Type of Heating System
□ Radiant
□ Oil
□ Wood stove
□ Solar
□ Base Board
□ Coal
□ Heat pump
□ Radiator
Location
□ Superior
□ Similar
□ Inferior
Lot Characteristics
View
Floor Plan Utility
Ext. Condition’s Appeal
Int. Condition’s Appeal
Overall Rating of Listings as
Compared to Subject
Listing #1: Date inspected:
Listing #2: Date inspected:
Listing #3: Date inspected:
Page 4 of 6
Instructions: Select sales within the last six months which are suitable and similar to the subject property and within the same/similar market area.
COMPARABLE SALES
Comparable Sale #1
Comparable Sale #2
Comparable Sale #3
MLS #
Final List Price
Sales Price
Under Contract Date
Closing Date
□Partial
Full
□ Window/Wall □ Heat Pump
Overall Rating of Sales as
Sales #1: Inspected? □ Yes
□ No Comments:
Sales #2: Inspected?
□Yes
Sales #3: Inspected?
Page 5 of 6
MOST LIKELY
BUYER(S)
MARKETING STRATEGY
VALUE
ANALYSIS
SIGNATURES
Check all that apply:
□ Local Buyer
□ Transferee
□ International Buyer
□ First-time Homebuyer
□ Second-home Buyer
□ Empty Nester
□ Military
□ Parent Purchaser for Child
□ Move-up Homebuyer
□ Investor
□ Dual-income
What are the three - five challenges to getting this property sold?
1.
2.
3.
4.
5.
What are the three - five actions necessary to address the challenges identified above?
What are the top five creative ideas you will use in marketing this property keeping in mind the challenges and actions identified above?
Additional Comments:
Most Likely Sales Price (MLSP): $
Suggested List Price (SLP): $
The MLSP is based on “as is” condition and a marketing time not to exceed
days to a contract of sale.
Real Estate Firm Tax ID #:
Date of Inspection:
Agent Preparer Name:
Contact Signature:
Agent Preparer Signature:
Page 6 of 6
Lien Release Requirements by State - Property owners are encouraged to review the form thoroughly, as it may contain terms that affect their rights.
For those looking to better understand the mediation process, accessing the Georgia Documents can provide valuable insights and support when completing the Georgia WC 100 form.
How to Make a Fake Insurance Card - Check the effective and expiration dates regularly.