Question

An appraiser has developed the three indications of value shown below for 60-year- old house located in an active market with a large number of rentals and sales. Which of the following reconciled values should the appraiser suggest? Sales Comparison Approach $ 88,000 Cost Depreciation Approach $103,000 Income-capitalization Approach $ 82,000 $82,000 $85,000 $88,000 $91,000

Answer 1

Since the property is a 60-year-old house located in an active market with a large number of rentals and sales, the sales comparison approach is the best technique to determine the value of the property.

Thus, the appraiser should suggest $88,000 as the reconciled value.

Correct choice - c $88,000