Residential Site Valuation and Cost Approach
This course focuses on the valuation of vacant land parcels and the development of the cost approach. Create a current cost estimate using market extraction, discover effective interview techniques, and explore information provided by professional cost data sources. An in-depth case study takes you from the origin of the appraisal assignment to a final value estimate using various cost approach applications.
Identify all steps in completing a cost approach. The step-by-step process of estimating current construction cost is the focus.Recognize how to use data sources and the comparative-unit method of cost calculation.Apply the age-life and market extraction methods of estimating depreciation. Apply the breakdown method of estimating depreciation, including physical deterioration, functional obsolescence, and external obsolescence. Recognize elements of cost approach summation, including reconciliation of depreciation estimates. Identify residential site valuation principles and how they relate to the concept of market analysis and the development of a highest and best use conclusion. Identify the elements of comparison and the units of comparison as they are applied in the sales comparison approach for estimating site value.Recognize steps in the extraction and allocation methods of site valuation.Reconcile multiple site value indications to a final opinion of site value.
