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Help! The Appraiser Gave Insufficient Adjustments For My Improvements
"Help! The appraiser didn't give sufficient value to the improvements to my home." This is quite often a homeowner's retort to a lower-than expected appraised value of their home. Homeowners are very proud of their home as well as the improvements made. An appraisers job (per the scope of work usually provided by the lender) is to find comparable homes to the subject. Because in reality, no two homes are identical, the appraiser will bracket items such as condition, quality, etc. So how does this allow for an appraiser to adjust X dollars for my improvements? Well an over simplification is that the appraiser's goal is to find what the market is yielding for such an improvement. The cost of an improvement isn't necessarily what prospective buyers are willing to pay for such improvement. Its quite rare for cost and value to be the same. Appraisers quite often utilize techniques such as matched-paired, extraction, or regression analysis to get an idea of what a certain feature would be worth in your market. It may be better to approach this as, 'what would a potential buyer be willing to pay for these improvements considering the availability of those improvements in my market?' If such improvements are fairly common and expected, the value to the improvement would be different if the improvement is rare. Its important to remember that although we take great pride in our homes, we need to remind ourselves that if we are looking for an increase in value, we have to think what potential buyers would pay in comparison to homes in your area. Albeit that this is a very general guideline, but it can certain shift our thinking away from the cost equals value notion.
How to Calculate Absorption Rate
Calculating Absorption Rate is part of the market analysis that many appraisers will research. Absorption Rate is a crucial concept that is used in attempts to forecast home prices and sales activity. How to calculate absorption rate: Gather sales (sold homes) over a period of time. Lets use 12 months (1 year). Divide the number of homes by the number of months in the interval.  This calculation will yield a per-month absorption rate. Finally, divide the rate into the number of current listings. This yields the months’ supply of homes in that given market. Its widely used that six months is considered to be balanced. when the number of listings is approximately equal to the number of buyers. Anything over would go further into a buyers market and visa versa for below 6 months.
Wilbraham, MA Real Estate Statistics 2016
Coordinates: 42°07′25″N 72°25′55″W State Massachusetts County Hampden Area  • Total 22.4 sq miles  • Land 22.2 sq miles  • Water 0.2 sq miles Elevation 290 ft (88 m) Population (2010)  • Total 14,868  • Density 640.5/sq mi (247.3/km2) ZIP code 01095 FIPS code 25-79740 GNIS feature ID 0619390 Website http://www.wilbraham-ma.gov/ Data Reflecting 11/16/2014 - 11/15/2015  (PREV YR) Sold Listings Price Range # of Listings Avg. Days on Market Avg. Days to Offer Average Sale Price Average List Price SP:LP Ratio Average Orig Price SP:OP Ratio $0 - $49,999 1 268 268 $48,000 $64,900 74 $69,900 69 $50,000 - $99,999 5 91 91 $88,823 $108,920 82 $119,560 75 $100,000 - $149,999 8 248 142 $120,875 $138,600 89 $152,400 82 $150,000 - $199,999 24 174 108 $178,085 $186,083 96 $197,395 92 $200,000 - $249,999 38 110 88 $227,738 $234,482 97 $243,742 94 $250,000 - $299,999 39 102 74 $270,944 $277,879 98 $285,808 95 $300,000 - $349,999 12 83 52 $327,938 $338,792 97 $343,458 96 $350,000 - $399,999 14 85 71 $373,696 $381,357 98 $392,650 95 $400,000 - $449,999 7 72 64 $415,429 $432,771 96 $435,914 95 $450,000 - $499,999 3 172 66 $463,000 $474,633 98 $500,500 93 $500,000 - $599,999 5 220 165 $547,980 $577,740 95 $622,560 88 $600,000 - $699,999 3 203 158 $630,000 $650,000 97 $658,300 96 $700,000 - $799,999 0 0 0 $0 $0 0 $0 0 $800,000 - $899,999 0 0 0 $0 $0 0 $0 0 $900,000 - $999,999 0 0 0 $0 $0 0 $0 0 $1,000,000 - $1,499,999 0 0 0 $0 $0 0 $0 0 $1,500,000 - $1,999,999 0 0 0 $0 $0 0 $0 0 $2,000,000 - $2,499,999 0 0 0 $0 $0 0 $0 0 $2,500,000 - $2,999,999 0 0 0 $0 $0 0 $0 0 $3,000,000 - $3,999,999 0 0 0 $0 $0 0 $0 0 $4,000,000 - $4,999,999 0 0 0 $0 $0 0 $0 0 $5,000,000 -… Continue Reading
East Longmeadow, MA Real Estate Statistics 2016
Data Reflecting 11/16/2014 - 11/15/2015 Prev Yr) Sold Listings Price Range # of Listings Avg. Days on Market Avg. Days to Offer Average Sale Price Average List Price SP:LP Ratio Average Orig Price SP:OP Ratio $0 - $49,999 0 0 0 $0 $0 0 $0 0 $50,000 - $99,999 4 388 212 $88,063 $98,475 90 $112,875 79 $100,000 - $149,999 15 65 43 $133,707 $143,967 93 $151,900 89 $150,000 - $199,999 45 153 95 $173,396 $194,372 95 $204,381 91 $200,000 - $249,999 34 100 69 $223,662 $230,007 97 $236,615 95 $250,000 - $299,999 29 83 59 $274,495 $280,242 98 $286,165 96 $300,000 - $349,999 20 109 101 $328,315 $337,425 97 $349,250 94 $350,000 - $399,999 20 164 105 $375,960 $386,260 97 $393,535 96 $400,000 - $449,999 15 114 77 $413,947 $425,400 97 $434,294 95 $450,000 - $499,999 5 209 126 $477,232 $496,920 96 $513,740 93 $500,000 - $599,999 8 80 75 $556,584 $560,313 99 $565,938 98 $600,000 - $699,999 1 328 328 $675,000 $699,900 96 $799,900 84 $700,000 - $799,999 0 0 0 $0 $0 0 $0 0 $800,000 - $899,999 0 0 0 $0 $0 0 $0 0 $900,000 - $999,999 0 0 0 $0 $0 0 $0 0 $1,000,000 - $1,499,999 0 0 0 $0 $0 0 $0 0 $1,500,000 - $1,999,999 0 0 0 $0 $0 0 $0 0 $2,000,000 - $2,499,999 0 0 0 $0 $0 0 $0 0 $2,500,000 - $2,999,999 0 0 0 $0 $0 0 $0 0 $3,000,000 - $3,999,999 0 0 0 $0 $0 0 $0 0 $4,000,000 - $4,999,999 0 0 0 $0 $0 0 $0 0 $5,000,000 - $9,999,999 0 0 0 $0 $0 0 $0 0 $10,000,000 - $99,999,999 0 0 0 $0 $0 0 $0 0 Total Properties 196 Avg. 124 Avg. 85 $273,133 $284,536 97 $293,556 93…
How to Calculate Property Tax
Property taxes are comprised of your local mill rates and the assessed value of your property. For a complete list of Massachusetts Millage rates, click here. The video is using an exaggerated example to show how both of the components work together to produce a property tax. If you are a home owner and do feel that you are over assessed, you may want to speak to a local appraiser and seek their expertise on your specific situation.
