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Selecting Valid Comparables <br /> Sales data must be sufficient enough to provide a <br /> representative sampling of comparable sales needed to apply <br /> the market data approach, to derive unit land values and <br /> depreciation indicators needed to apply the cost approach, <br /> and to derive gross rent multipliers and elements of the <br /> capitalization rate needed to apply the income approach. <br /> All sales data should include the parcel identification <br /> number, property classification code, month and year of <br /> sale, selling price, assessed value (land and total) as of <br /> the date of sale, and a reliable judgement as to <br /> whether or not the sale is representative of a true arms <br /> length transaction. <br /> The principle source for obtaining sales data is from the <br /> County Records. Other sources may include developers, <br /> realtors, MLSIlending institutions, and individual <br /> property owners during the data collection phase of the <br /> operation. <br /> Since market value has been defined as "the price estimated <br /> in terms of money at which the property would change hands <br /> between a willing and financially able buyer and a willing <br /> seller, neither being under any compulsion to buy or to sell <br /> and both having reasonable knowledge of all the uses to which <br /> the property is adapted and for which it is capable of being <br /> used", due consideration must be given to the conditions <br /> and circumstances of each sale before selecting the <br /> sales for analysis. Some examples of sales which do not <br /> normally reflect valid market conditions are as follows: <br /> Sales in connection with foreclosures, bankruptcies, <br /> condemnations and other legal action. <br /> Sales to or by federal, state, county and local <br /> governmental agencies. <br /> Sales to or by religious, charitable or benevolent tax <br /> exempt agencies. <br />