Determining the Value of a Property – David Reecher
A valuation technique in which a recently sold asset is used to determine the value of a similar asset. This technique is used in real estate to determine the initial sales price of a property.
This technique is helpful for accurately appraising the value of any asset. For example, a real estate agent may appraise the value of a home based on the most recent selling price of a house in the same neighborhood with similar attributes, such as square footage and the number of bedrooms and bathrooms.