What is a comparative market analysis and how does it differ from an appraisal?

A comparative market analysis, or CMA, is an informal estimate of a property's value prepared by a real estate agent to help sellers set a listing price or buyers determine an offer price. It uses recently sold comparable properties similar to the sales comparison approach but is less rigorous than a formal appraisal. A CMA is not performed by a licensed appraiser and does not follow the Uniform Standards of Professional Appraisal Practice. An appraisal is a formal, licensed opinion of value required by lenders before approving a mortgage.