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In the sales comparison approach to appraisal, adjustments are made to:

Correct Answer

B) The comparable properties to account for differences from the subject property

In the sales comparison approach, appraisers always adjust the comparable properties (comps), not the subject property. If a comparable is superior to the subject in some feature, a negative adjustment is made to the comp's price; if the comparable is inferior, a positive adjustment is made. The goal is to estimate what each comparable would have sold for if it were identical to the subject property.

Answer Options
A
The subject property to account for differences from the comparables
B
The comparable properties to account for differences from the subject property
C
Both the subject property and the comparable properties equally
D
Neither the subject nor the comparables, as they must be identical to be used

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Related Topics & Key Terms

Related Topics:

Sales Comparison ApproachAppraisal AdjustmentsComparable SalesUSPAP

Key Terms:

sales comparison approachcomparable adjustmentssubject propertyappraisalcomps
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