Question

Given the following sales adjustment grid, what adjustment would be made for size? (Multiple Choice)

Characteristics	Subject	Comparable 1	Comparable 2	Comparable 3	Comparable 4
Sales price		116,000	120,000	124,000	126,000
Square feet	1800	1700	1900	1900	1900
Exterior	Alum	Brick	Alum	Alum	Brick
Age	16	20	20	18	20

(A)$20 psf.

(B)$40 psf.

(C)$50 psf.

(D)$35 psf.

Answer 1

We see Comparable 1 and Comparable 4 and the only difference is size

Hence size adjustment=(126000-116000)/(1900-1700)=50 psf