RE 3010 - Real Estate Principles Assignment #3 Due: Oct 20 (Sun) at 11:59pm on iCollege In this assignment, you are required to use the Sales Comparison Approach to appraise a residential property of your choice (your own house, your relative's, your friend's...). You can find recent sales of comparable properties from Zillow. (Note: though information on Zillow is not official and should not be used in a formal appraisal, it suffices for the purpose of this assignment) 1. Go to www.zillow.com 2. From the drop-down menu on top, choose: Buy => Recent Home Sales 3. Enter the address of your subject property in the Search box to find recent home sales nearby 4. Choose 3 comparable properties from the list on the right: chose properties that are close to your subject (try to stay within 1-2 miles), similar to your subject, and sold within the last 6 months From the drop-down menu, choose More => scroll down to the bottom => Sold in last => 6 months 5. Use the following adjustment grid to adjust the sale prices of your comparables Elements of comparison Subject Comp. 1 Comp. 2 Comp. 3 Sale Price Transaction adjustments Market conditions Adjustment Property characteristics Physical characteristics Age Adjustment Lot (land) size Adjustment Living Area (sqft) Adjustment Number of bedrooms Adjustment Number of bathrooms Adjustment Garage spaces Adjustment General conditions Adjustment Final Adjusted Sale Price Note: General condition: refers to the physical condition of the property (good/well maintained, fair, poor...) (you can look at photos to judge the conditions of the houses) Use the Price Index method to adjust for market conditions: o Use the Case-Shiller price index for the Atlanta metro area: https://www.spglobal.com/spdji/en/indices/indicators/sp-corelogic-case-shiller atlanta-home-price-nsa-index/#overview o The latest index value is available for Jul 2024. Use this index value for Aug and Sep 2023. For the adjustment per sqft/bathroom/age..., you can use the same values as the example in the lecture notes ($480, $4000, -$1250...) or you can use your own estimates. There are no wrong answers. 6. Finally, reconcile the adjusted prices from the table above to derive the market value of your subject property as of today.