And at the end of 3 years, after they've been collecting premiums,
traveling on the corporate jets, lavish vacations, big bonuses,
where will they be? "We're so sorry, we have had to close our
business, apparently we were grossly underfunded and just
operating on the fumes. Hey it happens, look at Fannie Mae
they thought things would continue to go up, FHA insurance
is way too small for its risk, you all will be paying for that too.
Claims are handled through our attorney's, Duey, Cheatum, and
An adjustment would be difficult to determine for such an incentive. I would let the market decide the adjustment. Compare the sell of that condo with sales of other condos without the incentive. If there is an "value" that the market recognizes then derive an adjustment from it. If there isn't a noticeable difference then perhaps the market doesn't place a value on the incentive.
Second to that you could derive a market conditions adjustment from an average of the past two - three years worth of market decline and use that as an adjustment, if you had to.