Why are comparable sales so important when developing an Opinion of Value?
Category:
Business & Property Value
Comparable sales provide evidence of how knowledgeable buyers and sellers have recently valued similar assets under actual market conditions. Experienced brokers analyze similarities and differences between properties—including location, size, condition, occupancy, lease structure, income characteristics, financing influences, and market timing—to help develop a well-supported opinion.
Comparable sales do not establish value by themselves.
They provide context that helps explain how the marketplace has recently responded to similar opportunities.