Real Estate Math

An appraiser uses a comp that sold for $320,000. The comp has a pool (value +$8,000) but lacks a garage (value -$12,000) compared to the subject. The adjusted comp value is:

A$316,000
B$324,000✓ Correct
C$300,000
D$328,000

Explanation

Adjustments are made to the comparable. Pool (superior): -$8,000. No garage (inferior): +$12,000. Net = +$4,000. Adjusted = $320,000 - $8,000 + $12,000 = $324,000. Recalculation: comp superior pool = -$8,000 (deduct from comp), comp inferior no garage = +$12,000 (add to comp). $320,000 - $8,000 + $12,000 = $324,000.

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