Question
Reconciliation of Comparable Values. (worth 10 points total. RUBRIC= 5pt per question for detailed explanation with accurate answer, 3pt per question for simple/brief explanation with
Reconciliation of Comparable Values. (worth 10 points total. RUBRIC= 5pt per question for detailed explanation with accurate answer, 3pt per question for simple/brief explanation with accurate answer). Read the scenario and answer the following questions. SCENARIO: Suppose an Appraiser is appraising a single-family home. She finds three comparables in the same neighborhood that sold within the previous two months. Comparable #1 sold for $405,000, has an adjusted price of $410,000; it required three adjustments, with a gross adjustment of $5,000. Comparable #2 sold for $435,000, has an adjusted price of $420,000; it required six adjustments, with a gross adjustment of $15,000. Comparable #3 sold for $442,000, has an adjusted price of $430,000; it required five adjustments, with a gross adjustment of $12,000. The Appraiser decides on an Opinion of Value for the Subject Property of $415,000. Questions: 1. What possible price range could the Subject Property value come within and what factor(s) contributed to determining that range? 2. Explain the possible reasoning behind her decision to weight the final Value of the Subject property to be $415,000?
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