Question: please solve You are using the cost approach (replacement) to value a property. A new home similar to the property your appraising sells for $450,000.
please solve
You are using the cost approach (replacement) to value a property. A new home similar to the property your appraising sells for $450,000. You have been given a table to help in making the final adjustments to your valuation. After your inspection of the property, you are appraising you have discovered that there is 1100 sq. ft. of carpet with no useful life. The furnace is 10 years old. The roof is 2400 sq.ft and was replaced 6 years ago. There is 100 sq. ft. of tile in the front hall that is cracked and will need to be replaced. Use the table below to calculate the appraisal using the cost approach. Assume the price of the home new would sell for $480,000. Show your calculations for partial credit. Replacement Unit Costs Item Cost at 100% Carpet $10/sq.ft Tile $20/sq.ft Root $6/sq.ft Furnace $5000 Useful Life (Years) 10 15 12 20
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