Appraisal - Sales Comp Flashcards Preview

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Flashcards in Appraisal - Sales Comp Deck (17):
1

Financing concessions

adjusted using an extracted dollar amount from factual market data, which is a quantitative technique.

2

Financing Concessions-comp

no effect on the sale price of the subject property

3

Gross Adjustment

the dollar total of all adjustments applied to a comparable

4

Ranking and Weighting Technique

100 % of of the final value is distributed over 4 sales. 173,500x0.20 + 169,500x0.25 + 195,00 x0.15 + 181,200 x 0.40 = 178,805

5

Adjustment
Market condition

1. Financing 2. Condition of Sale 3.Market Condition

adjustment is made when market trends indicate that an adjustment is warranted;adjustment is in %

6

Older Property, Owner occupied

Collect recent sales data

7

Not Unit of Comparison

Listing price

8

Comparable Data

Must first be brought to CURRENT market conditions.
Market change per month (9 month) 0.1%x9=0.9%
+ sold price for a comparable price and adjustment
Highest & Best Use must be the same as SUBJECT

9

Mean of Factors

Example: Factor #1 -29%, Factor #2 -37%
-29+(-37)/2 = -33
Comp sold $240,000 x -33%=-79,000
Adjusted $ $240,000-79,000=161,000

10

Market Intelligence
市場情報

Market knowledge and intelligence learned from analysis of data prompts the appraiser to apply an adjustment for a specific property feature

11

Adjustment - Financing

cash equivalency

12

Advantages of Sales Comp

deeply rooted in market activity

13

Percentage Adjustment

Derived from Dollar amount to percentage

14

Adjustment
Condition of Sale

Personal property
Concession

15

Physical characteristic

Functional Utility

16

Quantitative Analysis

objective and supported by data

17

Extrapolation

Conclude outside the range of known data (in reconciliation)