Untitled Flashcards

Front

Provides an indication of value by comparing the asset with identical or comparable (similar) assets for which price information is avaiable.

Back

Market Approach (PVS2)

Front

Data generally used in a valuation analysis to develop value estimates. It relates to properties that have characteristics similar to those of the property being valued (subject propert)

Back

Comparable Data

Front

Properties that are substantially equivalent to the subject property.

Back

Comparables

Front

Elements of Comparison under PVS1

Back

• Real property rights conveyed

• financing terms

• conditions of sale

• expenditures made immediately after the purchase

• Market Conditions

• Location

• Physical Characteristics

• Economic Characteristics

• Use

• Non-realty components of sale

Front

A factor produced by two components which reflects precise differences between properties and facilitates analysis in the three approaches to value.
(PVS1)

Back

Unit of Comparison

Front

Elements of Comparison which are considered basic in comparable sales analysis.

(DETR)

Back

Date of Sale

Exact Location

Transactional Details

Remarks on physical characteristic

Front

An analysis designed to eliminate the effect on value of the differences (element of comparison)

Back

Adjustment Process

Front

A systematic approach which helps the appraiser to arrive at a value estimate, assist in the recording and reporting stage, and provide details on how the conclusion of value was estimated. This minimizes the risk of mistake.

Back

Grid Data Analysis

Front

In this type of analysis, the appraiser compares the features and sales prices of comparable properties.

Back

Matched Pair Analysis

Front

This approach provides an indication of value using the economic principle (principle of substitution) that a buyer will pay no more for an asset than the cost to obtain an asset of equal utility, whether by purchase or by construction, unless undue time, inconvenience, risk of other factors are involved (RVS2)

Back

Cost Approach