Property Valuation
A Louisiana appraiser discovering that a comparatively recently sold property in the neighborhood sold for an unusually high price due to a bidding war between motivated buyers should:
AUse it as the primary comparable
BInvestigate whether it represents typical market behavior or is an outlier, adjusting or excluding it if it distorts the value conclusion✓ Correct
CReport it to the LREC as price manipulation
DAlways use the highest comparable sales for their client's benefit
Explanation
Anomalous sales that don't represent typical market behavior may distort value conclusions. An appraiser should investigate such sales, determine if they are truly arms-length transactions, and either adjust for atypical motivations or exclude them from the analysis.
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