Agenda - 09-02-2008 - 4e - Laserfiche WebLink

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The quality/market factor system and dwelling pricing schedules in this manualare keyed to average construction. The base factor, therefore, represents cost of construction with average quality of workmanship and materials involved and is designated as "100" with five basic classes established as follows: "160" Grade "A" - Excellent Quality "130" Grade "B" - Good Quality "100" Grade "C" - Average Quality "70" Grade "D" = Fair Quality "40" Grade "E" - Poor Quality In order to justify variation in costs/markets and to maintain uniformity, while retaining complete control throughout the range of these established classes, this schedule has been computed to indicate a spread of 30% between each class. The "130" class is based upon the use of better grade materials and higher quality workmanship, and with provisions for better individual features and interior finish, which reflects 30% higher cost than the "100" class. Likewise, excellent quality or "160" class construction reflects 30% more cost than the "130" class. Conversely, the "70" class for fair quality construction is computed 30% less than the "100" class. A dwelling of poor quality, constructed with low grade materials and inferior workmanship and lacking sufficient no/mal facilities is in another isolated class. This is the "40" class, 30% less than class "70". As a market factor, used in the market approach, these quality factors will be adjusted as indicated by market analysis (analysis of neighborhood and/or comparable sales) . When appraising new construction, the field appraiser will compare the new construction to existing quality/market factors in the immediate neighborhood to determine the factor that will be applied. Additionally, any valuation reviews will concentrate on market analysis and the indicated market factor level. Appraiser judgement based on market based information will be the basis for determining the correct quality/market factor.