Property Valuation
Paired sales analysis in Michigan appraisal is used to:
ACompare the subject property to paired comparable sales
BIsolate the value contribution of a single feature by comparing two sales that are identical except for that feature✓ Correct
CPair an income approach value with a cost approach value
DCompare a property's sale price to its assessed value
Explanation
Paired sales analysis involves finding two sales that are identical except for one feature (e.g., one has a garage, one does not) and using the price difference to estimate the value contribution of that feature.
Related Michigan Property Valuation Questions
- In the sales comparison approach, an appraiser makes adjustments to comparable sales to:
- External obsolescence affecting a Michigan property's value could be caused by:
- In Michigan, a property's 'taxable value' can never exceed its:
- In Michigan, 'assessed value' differs from 'appraised value' because:
- A Michigan property has 3,500 sq ft of living area. If similar homes sell for $85 per sq ft, the indicated value using the cost approach per-square-foot method is:
- In Michigan, a 'before-tax cash flow' in investment real estate analysis is:
- The principle of substitution in appraisal states that a buyer will not pay more for a property than:
- In Michigan, the 'abstraction method' (allocation method) of land valuation involves:
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