Use the cost approach to value a SFR home based on the following characteristics and Data. The house is located on a 10,000 SFT lot and three nearby lot sales are as follows: 1) $98,000 for 14,000square feet and $63,000 for 9,000 square feet The House has 2800 of AGLA sft, 1,500 sft of finished basement and 1,300 sft of unfinished basement and 600 sqft of garage. Replacement cost new values from Marshall and Swift are: $110 (AGLA); $80 (Finished basement); $40 (unfinished basement and garage space) The House is 5 years old with an expected life span of 60 years The property also contains a brand new storage shed valued at $5000 and brand new swimming pool valued at $30,000 1 A) What is the lot value? B) What is the replacement cost new value of the home? C) How much is the home depreciated in both % and $? C) What is the depreciated structural replacement value of the home?
Use the cost approach to value a SFR home based on the following characteristics and Data. The house is located on a 10,000 SFT lot and three nearby lot sales are as follows: 1) $98,000 for 14,000square feet and $63,000 for 9,000 square feet The House has 2800 of AGLA sft, 1,500 sft of finished basement and 1,300 sft of unfinished basement and 600 sqft of garage. Replacement cost new values from Marshall and Swift are: $110 (AGLA); $80 (Finished basement); $40 (unfinished basement and garage space) The House is 5 years old with an expected life span of 60 years The property also contains a brand new storage shed valued at $5000 and brand new swimming pool valued at $30,000 1 A) What is the lot value? B) What is the replacement cost new value of the home? C) How much is the home depreciated in both % and $? C) What is the depreciated structural replacement value of the home?
Chapter1: Financial Statements And Business Decisions
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Transcribed Image Text:Use the cost approach to value a SFR home
based on the following characteristics and Data.
The house is located on a 10O,000 SFT lot and
three nearby lot sales are as follows: 1) $98,000
for 14,000square feet and $63,000 for 9,000
square feet
The House has 2800 of AGLA sft , 1,500 sft of
finished basement and 1,300 sft of unfinished
basement and 600 sqft of garage. Replacement
cost new values from Marshall and Swift are:
$110 (AGLA); $80 (Finished basement); $40
(unfinished basement and garage space)
The House is 5 years old with an expected life
span of 60 years
The property also contains a brand new storage
shed valued at $5000 and brand new
swimming pool valued at $30,000
1
A) What is the lot value?
B) What is the replacement cost new value of
the home?
C) How much is the home depreciated in both
% and $?
C) What is the depreciated structural
replacement value of the home?
D) What are the additional improvement values?
E) What is the final market value of the home
based on the cost approach
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