determine the value of the home using cost approach

Lecs assume that we are about to appraise a house using the cost approsch. The bome was originally constructed in the early 1900s and is one of the last of ita kind in this ares. The cott of constructing an exact replica of thir residence is etimated to be 5350,000 . On our trip to the actual property, we notice that this is the only renidentiat unat located on this particular road. Based on the current usage of adjacent real estate, we estimate that the property would be wonh an additional 325,000 in its highest and best use. However, due to the dramatic shif in the perceived safefy of the nelghbohbood, values of any remaining residential properties in the ares have fallen by 520,000 . Due to the home's age, we alse notice that there has been a Agnificant amount of physical deterionation to the building. amounting to as estimate of $50.000 in lost value. Since the home was built over 100 years age, the floor plan is quite obselete relative to currest preferences. This has a detrimental effect on the value of the property that is estimated to he appreximately $25, 000 . Civen this information, determine the appraited value of the home usinglthe cost approach $265,000$460,000$280,000$350,000