Jon Wierks blog at corelogic gives great insight on an often Misunderstood topic in Real Estate. First The most accurate way to create an appraisal report is by comparison. Ideally, appraisers use a perfect comparable, or an exact replica of the subject property that is next-door and sold yesterday. Unfortunately, a perfect comparable in the real world is nearly impossible to find, and for this reason, appraisers use comparables as the standard for drafting appraisal reports. When a comparable has a feature that is not the same as the subject’s, an appraiser will make an adjustment to the comparable’s sale price to account for that feature difference and make it more equal to the subject’s.
The Differences in Living Area was the most adjusted feature at 96.4 percent. Other features that were adjusted on 50 percent or more of appraisal reports were Room, Car Storage, Porch and Deck, Overall Condition and Site Area. Sign up for free property alertsand Market insights for Roswell, Milton, Alpharetta Georgia Here.