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5.211-Cost Approach <br /> The Dictionary of Real Estate Appraisal 6th Edition defines the cost approach as 'a set of <br /> procedures through which a value indication is derived for the fee simple estate by <br /> estimating the current cost to construct a reproduction of(or replacement for) the existing <br /> structure, including an entrepreneurial incentive or profit; deducting depreciation from <br /> the total cost; and adding the estimated land value. Adjustments may then be made to the <br /> indicated value of the fee simple estate in the subject property to reflect the value of the <br /> property interest being appraised. <br /> In the subject's case, the cost approach is not applicable and excluded from the valuation. <br /> 5.212- Sales Comparison Approach <br /> 'The Dictionary of Real Estate Appraisal' 6th Edition defines the sales comparison <br /> approach as "The process of deriving a value indication for the subject property by <br /> comparing similar properties that have recently sold with the property being appraised, <br /> identifying appropriate units of comparison and making adjustments to the sale prices (or <br /> the unit prices as appropriate) of the comparable properties based on relevant market- <br /> derived elements of comparison. The sales comparison approach may be used to value <br /> improved properties, vacant land or land being considered as though vacant when an <br /> adequate supply of comparable sales is available." <br /> Land Value by Comparison <br /> Applying the sales comparison approach,the following land sales are compared to the subject to <br /> determine the land value 'as if vacant'. <br /> The sales are selected due to location, zoning and access. The valuation unit is the price per <br /> acre. <br /> Residue: R-2246B 076 19 <br /> Attachment number 2\n <br /> G-6 Page 275 <br />