As part of the Sales Comparison Analysis, it is often necessary to “weight” the selected comps during the reconciliation process needed to complete the appraisal. Within the RPR system, we offer three methods of doing this from the comp adjustment grid.
By default, all comps added to the analysis will be weighted equally, with some rounding being applied (to whole percentage numbers). In the event that the comps don’t divide equally (such as would be the case if three comps are selected), the furthest-most right comps will receive a slightly lower weighting.
In order to change the weighting of the comps, if desired, click the “edit” button next to the comp weighting bar chart:
This will bring you to the weighting adjustment screen:
From here, there are three options ...
1) Weight your comps manually, by directly entering in your desired values
2) Reset the comps to be weighted equally
3) Use an “Auto-weight” mechanism that uses some basic logic to adjust the comps weight proportionally based on the value of the gross adjustment % for each comp, and distribute a higher weight to those comps that are adjusted less. This is similar to the approach found in other appraiser tools, and is left as an optional choice for those who are more comfortable controlling their weighting by hand, or including the weighting implicitly in their adjustments.
Note that if you choose to manually specify weights, you will not be able to save your changes until your values total up to 100%. Also note that it is possible to enter a value of 0% if you would like to include the comp for comparison purposes in your adjustment grid and valuation workbook, but do not want to have its value considered in the determination of the sales comparison approach estimate.
In order to save your changes, use the “Apply and Close” button to store the results of your weighting and return you to the adjustment grid. Hitting the “Cancel” button will discard your changes and return you to the adjustment grid with your previous values.