"In order to determine potential losses in value for residential improvements due to the location-proximity of the new alignment/right of way for Georgia Highway xx south of Xxxxx, the appraiser has reviewed market information regarding the 13 improved sales and their distance from existing roadways."
Have I considered enough evidence? Does a new alignment have more impact that widening an existing roadway? What impact occurs from a new roadway to a residential improvement?
These questions swirl around any analysis regarding bringing a roadway closer to a house. And as a professional, I tend to do the same quality work for condemnors and condemnees. Basically, proximity impact is shown from market evidence, typically from the market/sales comparison approach by comparing distances at sale. We filter data and extract items such as underlying land value and adjust for construction date, type and quality, number of bedrooms and baths, or square footage.
We consider the relevant data, apply an analysis tool, and voice an opinion. Sometimes we use statistics, sometimes we consider paired sales.
In the above analysis, I reviewed over 100 sales to get 13 'good' ones. Was that sufficient? What if only two good pairs presented themselves for comparison?
As appraisers, we should consider and utilize all the valuation methodologies available to us. But, at what point do we complete that analysis and make a determination for value impact?
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