Question

When determining the value of a property using the Sales Comparison Approach (also known as the Market Data Approach) the appraiser looks for similar properties that have been sold to use in comparison. Which of the following factors is NOT important to an appraiser in selecting and analyzing comparable properties using this approach:
A. dates of sale
B. financing terms
C. appearance and condition
D. original cost

Answer 1

Answer:

D. original cost

Explanation:

According to the details regarding this information it can be said that the factor that is not important to the appraiser would be original cost. This is because a property can have any original cost but it does not mean that people will purchase it, what matters is the price that the property actually sells for. Therefore since it does not have effect or importance on the current market value then it will not be important to the appraiser using this approach.