Property Valuation
In the sales comparison approach, an appraiser makes a 'net adjustment' that represents:
AThe total of all positive adjustments only
BThe algebraic sum of all positive and negative adjustments to a comparable sale✓ Correct
CThe average of all adjustments
DThe largest single adjustment made to any comparable
Explanation
The net adjustment is the algebraic sum of all positive (upward) and negative (downward) adjustments made to a comparable sale. Appraisers monitor net and gross adjustments to ensure the comparables are sufficiently similar to the subject and that excessive adjustments don't undermine the reliability of the analysis.
Related Montana Property Valuation Questions
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