You are appraising a residential subject property that is in good condition and has 4 bedrooms....

You are appraising a residential subject property that is in good condition and has 4 bedrooms. Your best comparable sale sold three months ago for $100,000. This comparable is in excellent condition and has 3 bedrooms. Prices have increased by 1% per month since the sale took place. An extra bedroom adds $8,000 in value, and houses in excellent condition are worth $6,000 more than those in good condition. What is the adjusted sale price for this comparable, taking into account all adjustments including time?

A)105,000

B) 98,000

C)101,000

D)107,000

E)103,000

Solutions

Expert Solution

Here, we have to find the adjusted price of Comparable which is three bedroom and sold for 100000 three month before.

Price is increasing 1% per month.

Means, in 3 months, price has been increased by 3%

Hence, Adjusted sales price of Comparable (3 bedroom) = 100000*(1+3%)

Hence, Adjusted sales price of Comparable (3 bedroom) = 103000

Correct option will be E)103000.

keosha answered 1 year ago

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