market analysis conflicts within report

[Artemis Fowl]

As I've evolved my philosophy on this I'm coming more to the opinion that a SCA grid can never be more than a plausible mathematical (quantitative) explanation of the most reasonable qualitative analysis of the situation.

The intent of the practices and methodology applied to this appraisal problem is to create a predictive model of the subject’s market value. Quantitative indicators from available market data serve to build the model’s framework. Qualitative logic applied within the framework provides support for the reconciliation and solution to the appraisal problem.

The appraiser utilizes two predictive models as primary value indicators. The quantitative model (the form sales grid) and the qualitative model (ranking of the subject within the sample).

Comparables sales are presented in the form's grid and adjusted quantitatively. This quantitative predictive model provides a primary value range indicator that is considered in the final reconciliation.

The qualitative model (subjective ranking of the subject within the sample) takes place throughout the sales comparison approach and compliments the quantitative model. The primary reconciliation process takes place in a qualitative analysis wherein the subject and comparables are ranked relative to each other based on overall utility, condition and appeal. This process strongly replicates the thought process of a typical buyer. The form's quantitative grid serves to present a snapshot of the market and attempts to bracket the subject within it's relative rank in the market.

Something like this?

 

[Joyce Potts]

Joyce, haven't you heard?

Getting published in TAJ (or, another peer-reviewed journal) for a real estate-related paper can be accepted, subject to review, in lieu of a demo report.

Follow the money, Honey. That's all it's about anymore.

 

[biker4ever]

I also put in the comment on my MC form that limited comparable data makes for a less reliable market trend in MC form.

Maybe you can cut an Addendum that says Subject overall market shows slight decline but Subject immediate market area shows stable... (something to that effect).. I did not read your original post except to get the gist. Alot of times, the Reviewer or UW just wants a statement to satisfy his/her concern.

 

[normando]

The MC is a big piece of crap. I find I can manipulate the data to get declining, stable, or increasing that's because you can interpret data in so many ways. You can say 2 bedrm homes are declining but overall market is increasing. Or 3 bedrm homes are increasing but overall market is stable. You can add all these verbage but what underwriters are looking for is consistency. I follow my appraiser's instinct and get the data to justify that trend.