1. If growth in sales prices has been verified in the market at 5% annually over the...
Question:
1. If growth in sales prices has been verified in the market at 5% annually over the past two years, what are the correct adjustments in Comparables 1, 2, and 3 for time of sale?
2. Assuming the age adjustment to be $500 per year and $500 for good condition (as compared to fair) and $500 for excellent condition (as compared to good), what are the correct adjustments in Comparables 1, 2, and 3 for age and condition?
3. Assuming the amount of dollar adjustments (regardless of direction or sign) for square feet living area in Comparable 1 is $45 per square foot, what should the dollar adjustments be for Comparables 2 & 3 for square feet of living area? What should the direction of the adjustment be for Comparables 1, 2, and 3?
4. Assuming the dollar amount of adjustments for above or below standard built‑ins is $1,000 (as compared to standard) to be correct, what should the dollar amount, sequence, and direction of adjustments be for Comparables 1, 2, and 3?
5. Assuming that an additional garage unit adds $3,000 to value, what should the dollar amount, sequence and direction of the adjustments be for Comparables 1, 2, and 3?
6. Assuming an adjustment for location of $2,000 for good location (as compared to fair) and $4,000 for excellent location (as compared to fair) what should the adjustments be for location for Comparables 1, 2, and 3?
7. What is your final value estimate? Explain how this is derived.
SUBJECT
ITEM PROPERTY SALE 1 SALE 2 SALE 3
Date of Sale Current 6 mos. 1 year
Sales Price $75,000 $72,400 $71,000
Age 5 yrs. New 10 yrs. 15 yrs
Condition Good Excellent Good Fair
Living Area 2,000 sq. ft. 1,900 sq. ft. 2,200 sq. ft. 1,950 sq. ft.
Built‑ins Standard Above Standard Standard Below Standard
Garage 2‑Car 1‑Car 1‑Car 2‑Car
Location Good Excellent Fair Good
Adjusted Price
Final value estimate
Expert Answer:
1 If growth in sales prices has been verified in the market at 5 annually over the past two years what are the correct adjustments in Comparables 1 2 ... View the full answer
