Property Valuation
A Florida appraiser excludes a comparable sale from the analysis because the sale was a 'distressed sale' (foreclosure or short sale). This is because:
AForeclosure sales are always above market value
BDistressed sales may not reflect arm's-length market value conditions and could skew the analysis✓ Correct
CFREC prohibits using distressed sales as comparables
DDistressed sales are always overpriced
Explanation
Foreclosure and short sales often involve motivated sellers or atypical market conditions that don't reflect the freely negotiated arm's-length market value. Appraisers may exclude them or give them less weight, depending on whether their prices accurately represent market conditions.
Related Florida Property Valuation Questions
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