Three comparables produce adjusted indications of $292,000, $298,000 and $305,000. The appraiser concludes a value of $310,000. What is the problem?
Correct Answer
D) The conclusion sits above all three indications
Why this is correct: the adjusted indications are the evidence, and a conclusion outside their range is supported by none of them. Something is missing — a fourth sale, an adjustment not made, or a reason stated and defended. Why the other choices are wrong: concluding above every piece of evidence is not nothing; a conclusion need not be the mean, and often should not be; and three indications inside thirteen thousand dollars is strong agreement rather than a defect.
Why This Is the Correct Answer
Why this is correct: the adjusted indications are the evidence, and a conclusion outside their range is supported by none of them. Something is missing — a fourth sale, an adjustment not made, or a reason stated and defended. Why the other choices are wrong: concluding above every piece of evidence is not nothing; a conclusion need not be the mean, and often should not be; and three indications inside thirteen thousand dollars is strong agreement rather than a defect.
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The subject contains 1,900 square feet. The three comparables contain 1,700, 1,780 and 1,840 square feet, and gross living area is supported at $70 per square foot. What is the concern?
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