Adjustments

[Mia N]

What adjustments would be made in dollar amounts first then converted into percentage adjustment.

 

[The Bob]

Time
Older comps used to support an current adjustment

 

[Terrel L. Shields]

Market Conditions (time) is the only adjustment i routinely make using a percentage. I use that percentage from a trendline created with a graph using current sales in the same class (SF, Land, Commercial, etc.) in the given area. So I never really convert dollars to percentages on anything as a routine.

I have applied percentages to composition (rural tracts with both woodlot and pasture), flood zones, etc. You could say that you are converting dollars to percentage in those cases. However, these are often created as a graph of data in Excel.

 

[Surf Cat]

I convert $$ of location from alternative, competitive neighborhoods to the subject's neighborhood in percentages.

Sometimes you just don't have enough sales in the subject's immediate neighborhood and you have to expand your parameters. Like Terrel, I create charts or graphs from data derived and downloaded from the MLS of the different areas.

 

[George Hatch]

For 1-4s I generally limit percentage adjustments to location and market conditions.

For 1-4s and small SFR lots the most commonly used unit of comparison is the saleprice itself. Most appraisers do the same for larger SFR parcels as well. But for other property types the unit of comparison will usually be size or unit based. Price/sf, Price/acre, Price/unit, Price/room, etc.

I usually use percentages for other factors like quality and condition and site improvements and onsite parking and such when appraising other property types. I usually convert those percentages into a line item adjustment because (IMO) that's easier for many readers to follow when compared to just showing percentages in a grid and converting the sum of those percentages at the end.

 

[Surf Cat]

What adjustments would be made in dollar amounts first then converted into percentage adjustment.

In re-reading the OP, I never make an adjustment in dollars "first" then convert to percentages. I do the exact opposite....derive the difference from location and or time from your data in percentages, then convert to $ amount in the grid.

 

[sputnam]

In re-reading the OP, I never make an adjustment in dollars "first" then convert to percentages. I do the exact opposite....derive the difference from location and or time from your data in percentages, then convert to $ amount in the grid.

Agreed, Depending on the assignment, either percentages or dollars may be acceptable. Do it one way or the other... not both.

 

[sputnam]

In re-reading the OP, I never make an adjustment in dollars "first" then convert to percentages. I do the exact opposite....derive the difference from location and or time from your data in percentages, then convert to $ amount in the grid.

Agreed, Depending on the assignment, either percentages or dollars may be acceptable. Do it one way or the other... not both.