The Appraisal Files

Allen ask what is a comparable sale. Well Allen the ideal comparable sale is the house next door that was build by the same builder, the same year, that closed the day before I am at the home that I am appraising. In the real world a comparable sale is a home that has sold at arms-length that is near the subject,is near the same age, near the same size, on a lot that is nearly the same size. These sales are placed on a grid and the differences are adjusted to make the comparalbe sale as near to the subject as possible. The comparable sales are always adjusted never the subject. As an example if the subject has a two car garage and the comparable used has a one car garage,and the market for the extra garage bay in this area is $2,500 then $2,500 would be added to the comparable sale price to make the two as near equal as possible.