reconciliation and other

determining most credible approach

which method best reflects how buyers in the market value the property

consistency of assumptions

same physical condition, HBU, property rights, market area, consider all available data, solve clients problem

consistency checklist

same building area, property features, condition, functional utility, locational influence, effective date of appraisal

substitution

a buyer will not pay more for a property than the cost of buying a similar substitute

contribution

value of a component is measured by how much it contributes to the overall property value

balance

max value occurs when the different production factors are in proper proportion

externalities

factors outside property affecting value

bundle of rights

right to use, sell, lease, exclude

HBU

legally permissible, physically possible, financially feasible, maximally productive