Price, proceeds and certainty: comparing a sale properly

Start with a defensible comparison

Choose comparable properties by location, type, size, condition and sale date. Separate completed sales from asking prices and distinguish negotiated adjustments from measured evidence. A national price headline cannot value an individual home. When comparables are scarce or old, show a range and explain the missing evidence rather than creating a false point estimate.

Build the proceeds bridge

Move from the offer price to cash remaining after selling costs, applicable tax on services, mortgage payout and other closing adjustments. Use the lender’s dated statement for a contractual penalty. If you also owe tax on the disposition, show that separately instead of assuming that the closing cheque is the amount you can keep permanently.

An offer is also a timetable

Conditions, financing, inspections, deposits and the proposed closing date matter alongside price. Record the exact wording, time zone and deadline from the agreement. Do not let a generic business-day calculation override a contract’s definition or a lawyer’s interpretation. A higher offer may create more uncertainty, but a checklist cannot convert that uncertainty into a reliable probability of completion.

Stress the time on market

Calculate an extra month of carrying costs and a delayed move, then compare that cost with the difference between offers. For a flip, include financing, renovations, selling expenses and a slower exit. Do not assume that a property disposition is automatically a capital gain. Ask a qualified adviser about the facts and current rules before relying on a projected after-tax result.

Put the explanation to work

Use your own dated inputs. Save a base case, change the assumption that matters, and compare the cash available and obligations in each case.

Official sources and further reading

Editorial review: 2026-11-06. Source pages may change. Follow the publisher’s latest release before relying on a current figure or rule.