AI Appraisal?

[Terrel L. Shields]

every time I run a MLR for fireplaces, I get an R value that is much less than if I remove it. So, that tells me something even if I am not sure what that something is.

 

[Fernando]

every time I run a MLR for fireplaces, I get an R value that is much less than if I remove it. So, that tells me something even if I am not sure what that something is.

Does a Fireplace Add Value to a Home? Here’s What You Need to Know

Find out if a fireplace really adds value to your home, plus tips on types, installation costs, and what buyers look for before you invest.

www.redfin.com

Does a fireplace raise the value of a house?​

Did you know that, on average, homes with fireplaces are listed for 13% more than the national median sale price? And, according to Angi, fireplaces are a popular feature — about 70% of real estate agents say they add value, and 77% of buyers say they’d pay more for a home that has one.

Great news right? But here’s the catch: the actual value added might not be as high as you’d expect. Most agents estimate that a fireplace adds between $1,000 and $5,000 in value, yet only about 35% of buyers agree. In fact, nearly a quarter of buyers think a fireplace is worth $1,000 or less, and some aren’t willing to pay extra at all.

 

[glenn walker]

I'm more interested in the final opinion of value and how that looked more than how he/she arrived at it.

 

[OSU Beavers]

every time I run a MLR for fireplaces, I get an R value that is much less than if I remove it. So, that tells me something even if I am not sure what that something is.

I have had the same problem with that since the 1990's when regression analysis was indicating a negative value for fireplaces. What I found was that fireplaces were mostly found in older homes of various quality, but only in some higher quality newer homes. So the negative fireplace adjustment was really part of the actual age adjustment. Any positive adjustment that a fireplace may have contributed on newer homes were overshadowed by their higher quality.

When in doubt use a 1% token adjustment and call it good.

 

[Non Sequitur]

I have had the same problem with that since the 1990's when regression analysis was indicating a negative value for fireplaces. What I found was that fireplaces were mostly found in older homes of various quality, but only in some higher quality newer homes. So the negative fireplace adjustment was really part of the actual age adjustment. Any positive adjustment that a fireplace may have contributed on newer homes were overshadowed by their higher quality.

When in doubt use a 1% token adjustment and call it good.

Perfect example of why experience matters despite what TAF's proclamation nearly a year ago states.