Property Valuation

In South Dakota, which type of property would be most difficult to appraise using the sales comparison approach?

AA standard three-bedroom single-family home in a suburb
BA historic lighthouse converted to a private residence✓ Correct
CA recently built condominium unit
DA new construction ranch-style home

Explanation

Unique or special-use properties like a historic lighthouse are extremely difficult to value using the sales comparison approach because there are very few, if any, comparable sales. The cost approach is more typically used for such unique properties.

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