Property Valuation
When using the sales comparison approach, an appraiser finds a comparable that sold for $300,000. The comparable has a 2-car garage worth $10,000 but the subject property does not. The appraiser should:
AAdd $10,000 to the comparable's sale price
BSubtract $10,000 from the comparable's sale price✓ Correct
CAdd $10,000 to the subject property's value
DIgnore the difference if it is under $15,000
Explanation
When a comparable is superior to the subject, the appraiser subtracts the adjustment from the comparable's sale price. The comparable sold for $300,000 partly because it has a garage; without the garage, it would have sold for approximately $290,000, which is the adjusted value.
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