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I like the other answers. I make adjustments depending on the market and the subdivision.
With condos - so easy, don't sell houses.
Gabe nailed this one!
I have a checklist I got from an appraiser and use those adjustments. I get pretty darn close to the appraised value too.
Yes I definitely do. I use the same formula as stated here.
For the comp, figure out the $ per. sq. ft. Then adjust the comp to equal the subject by either adding or subtracting the diference in $ per. sq. ft.
(This should be the sq. ft. of living area value once the lot value has been subtracted from the home value.)
in my area I use $100/sf for gla. $5K for garage, land is 3-$5/sf,
Richard Weeks I believe it's a² + b² = c². Just kidding! I would speak with an appraiser to see what their adjustment is for your area. In the end it is their formula that dictates the price.
I talk to my favorite appraiser and get their advice
I make adjustments over 10% in difference but dont use any comps mor ethan 20% in difference. I usually use $50 per SF,
I take square feet difference and divide by either 3 or 4 and multiply by the average price per square foot of recent sales that I'm using for comps. If the differential is less than 200 in a really big house, I give value to the incremental square feet and more to a small property.
The formula is to establish the baseline value which will be further adjusted by other home assets.
The formula I apply varies based on the nature of the discrepancy. Is the difference in gross SF or conditioned sq feet? Is the difference a garage, back porch, lanai or conditioned living space? This determines if you use $95 a square foot or $159 a square foot.
Next, if the difference is less that 400 Square I make no formula changes.
If greater than 400 Sf I apply a 0.009 inversion to the excess square feet adding 0.001 for every unit above. (i.e. 800 sf apply a 0.01 inversion)
This is an element of the CIS Score algorithm(S) that have proven incredibly accurate. The CMA effort time is dramatically reduced and the result based on objective, not subjective criteria.