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Age/Depreciation Adjustments in Sales Comparison

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Effective age is the age indicated by the condition and utility of a structure and is based on an appraiser's judgment and interpretation of market perceptions.

Not a separate thing. Stop struggling and start reading more.
 
See how I take your insults without return in the same manner? I'm a professional,

Mr Rex said:
Once again Ed, you set the standard for Idiot. Effective age: timeless. Effective IQ: Immeasureable, the SAT starts at 400... Entertainment value to competent appraisers: Somewhere between incredulous and priceless. Potential damage to appraisers reputation if some of Ed's ideas reach main stream media: Terminal Cancer, level 4+.
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Effective age is never more than actual age. Actual age is written in stone so don't ignore it

I can't believe you got this far not knowing the difference

You think damaging the drywall or tearing up the inside makes it older? Please greg, review age/life

Greg Boyd said:
Effective age is the age indicated by the condition and utility of a structure and is based on an appraiser's judgment and interpretation of market perceptions.

Not a separate thing. Stop struggling and start reading more.
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The answer to the question I asked on the last page about the 23 year old strip mall is: "it would probably have an estimated effective age greater than 23 years."

Published in The Appraisal of Real Estate, 13th Edition on Page 412, Paragraph 3.

The definition of Effective Age that I posted above is in the same book and can be found at the top of Page 412.

But this text is only written on paper so I guess it doesn't count for much.
 
They're wrong. That doesn't give you the right to use a slip hap-hazardly without your own reason. A 23 yr old building is stripped to the studs and defecated in. It's still 23. Why? Recorded that way. Condition does not equate to effective age. It's condition alone, 23 yrs old and 50k of upgrades/repairs needed. Condition. It's still 23. Fkn idiots. HH is a big one I'd like to meet. Not being shy doesn't equal brilliance. It can't be older than it actually is - what idiot said that? Probably needed to think of his 15 yr old groupie as older lol
 
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Steve Wynn builds a three billion dollar hotel casino thinking there will be no problem getting the city to allow him to purchase and redevelop an adjoining lot to use for a parking structure. 90% of construction is complete when he gets the news that the city will not now and not ever approve that portion of the plan so Steve has to buy a property five miles from the strip for his parking garage and use shuttles to deliver guests and gamblers. The building is better than brand new and the actual age is zero years. But he can't get any more income than the 30 year old casino on the lot he wanted to use for a parking garage because everyone who goes to Las Vegas is old and fat and doesn't want to ride the shuttle for five miles only to have to carry a bunch of suitcases up to their room. The current owner of that casino is planning on demolition and building a new LEED certified casino. Smaller yes but plenty of parking and a business plan that will attract hoardes of green friendly gamblers with more of the green stuff that casinos like.

What is the effective age of Mr. Wynn's brand new casino?
 
fifteen said:
Effective age is never more than actual age..............Please greg, review age/life
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There are so many things wrong with the comments on this thread.

Greg Boyd said:
......Published in The Appraisal of Real Estate, 13th Edition on Page 412, Paragraph 3.............The definition of Effective Age that I posted above is in the same book and can be found at the top of Page 412.
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fifteen said:
They're wrong.............
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This is the third time that I can remember that the AI, and the 13th Edition is wrong in your opinion. Please explain to me how the 13th edition and every poster in this thread is wrong except you.


Effective Age
The age of property that is based on the amount of observed deterioration and obsolescence it has sustained, which may be different from its chronological age. (USPAP, 2002 ed.)

Age-Life Method
A method of estimating depreciation in which the ratio between the effective age of a building and its total economic life is applied to the current cost of the improvements to obtain a lump-sum deduction; also known as the economic age-life method. See also modified age-life method.
 
Hey Greg, new talking point - external depreciation? It's still the same age

Greg Boyd said:
Steve Wynn builds a three billion dollar hotel casino thinking there will be no problem getting the city to allow him to purchase and redevelop an adjoining lot to use for a parking structure. 90% of construction is complete when he gets the news that the city will not now and not ever approve that portion of the plan so Steve has to buy a property five miles from the strip for his parking garage and use shuttles to deliver guests and gamblers. The building is better than brand new and the actual age is zero years. But he can't get any more income than the 30 year old casino on the lot he wanted to use for a parking garage because everyone who goes to Las Vegas is old and fat and doesn't want to ride the shuttle for five miles only to have to carry a bunch of suitcases up to their room. The current owner of that casino is planning on demolition and building a new LEED certified casino. Smaller yes but plenty of parking and a business plan that will attract hoardes of green friendly gamblers with more of the green stuff that casinos like.

What is the effective age of Mr. Wynn's brand new casino?
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Timothy Evans said:
There are so many things wrong with the comments on this thread.
This is the third time that I can remember that the AI, and the 13th Edition is wrong in your opinion. Please explain to me how the 13th edition and every poster in this thread is wrong except you.

Effective Age
The age of property that is based on the amount of observed deterioration and obsolescence it has sustained, which may be different from its chronological age. (USPAP, 2002 ed.)

Age-Life Method
A method of estimating depreciation in which the ratio between the effective age of a building and its total economic life is applied to the current cost of the improvements to obtain a lump-sum deduction; also known as the economic age-life method. See also modified age-life method.
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Wow,Tim. Thanks for pointing out that a subject can be effectively older than it really is! Not. You see a 5 yr old building and say it's effectively 7 yrs old. Will you see the nighborhood in 2 years where the subject's actual age is 7? Could it have changed? Could the neighborhood have depreciated at a faster rate so that the subject is effectively 5 and might not reach anytime soon a 7 yr effective age? Could the subject have burnt down? You are relaying facts and saying that a 5 yr old subject is effectively 7 is saying that factually in 2 years it will be there. Proof? Or is it misleading. A property cannot exist beyond itself

Ohh, and Tim - please don't ban me for my opinons - I personally attack no one
 
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I have more important things to do tonight than discuss Appraisal 101 (again).

Fantasy Football draft is tonight.
 
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