Property Valuation
In Minnesota, the sales comparison approach uses 'adjustments' to comparable sales. These adjustments are made to:
AThe subject property to match the comparables
BEach comparable to reflect how its features compare to the subject property✓ Correct
CBoth the subject and comparables equally
DOnly comparables that are below the subject's price range
Explanation
Adjustments in the sales comparison approach are always made to the comparable sales, not the subject property. If the comparable is inferior to the subject, an upward adjustment is made to the comparable's sale price. If the comparable is superior, a downward adjustment is made. The goal is to simulate what each comparable would have sold for if it had the same features as the subject.
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