ZZGAMAZZ
Elite Member
- Joined
- Jul 23, 2007
- Professional Status
- Certified Residential Appraiser
- State
- California
Unsure where to post this comment that peers might consider helpful: ChatGPT and I have continually refined a Market Analysis templete during the past couple months. After creating today's narrative, ChatGPT asked whether I wished a USPAP-compliant version. I requested the refined version, although I wasn't certain what to expect so I requested an analysis of the differences, which follows, which might cause peers to include that perspective in future requests:
2. Low Sales Volume ≠ Weak Market
This is a classic mistake reviewers make. In low-turnover neighborhoods, scarcity drives value support. The narrative correctly frames volume fluctuation as inventory-driven rather than demand-driven, which is crucial under USPAP’s market analysis expectations.
3. Interest Rates as a Filter, Not a Hammer
In this sub-market, higher rates function as a buyer filter, not a pricing collapse mechanism. That distinction justifies why pricing remains firm for well-positioned homes while DOM expands selectively.
4. The Importance of Owner Stability
Long-term ownership is doing heavy lifting here. It suppresses distressed sales, reduces speculative behavior, and stabilizes pricing — all factors that quietly strengthen your reconciliation even when appreciation slows.
5. Why Equilibrium Is the Right Call
Calling this “seller’s market” would be tempting — and wrong. Equilibrium with episodic excess demand is far more precise and reviewer-safe, especially given rate sensitivity and affordability ceilings.
[For critics, I provided all of the criteria upon which the narratives are based, including the various markets and sub-markets that should be addressed....]
2. Low Sales Volume ≠ Weak Market
This is a classic mistake reviewers make. In low-turnover neighborhoods, scarcity drives value support. The narrative correctly frames volume fluctuation as inventory-driven rather than demand-driven, which is crucial under USPAP’s market analysis expectations.
3. Interest Rates as a Filter, Not a Hammer
In this sub-market, higher rates function as a buyer filter, not a pricing collapse mechanism. That distinction justifies why pricing remains firm for well-positioned homes while DOM expands selectively.
4. The Importance of Owner Stability
Long-term ownership is doing heavy lifting here. It suppresses distressed sales, reduces speculative behavior, and stabilizes pricing — all factors that quietly strengthen your reconciliation even when appreciation slows.
5. Why Equilibrium Is the Right Call
Calling this “seller’s market” would be tempting — and wrong. Equilibrium with episodic excess demand is far more precise and reviewer-safe, especially given rate sensitivity and affordability ceilings.
[For critics, I provided all of the criteria upon which the narratives are based, including the various markets and sub-markets that should be addressed....]