Sales Comparison Approach

The sales comparison approach values real estate based on recent sales of comparable properties with adjustments for differences. Core sanity check for LA multifamily pricing alongside income approach.

What it means in practice

Select 3-6 comparable closed sales in the same submarket, adjust for differences (unit count, age, condition, rent roll), arrive at an indicated price. Comparables should be recent (ideally within 90 days), similar in profile, and verifiable.

Why it matters for LA multifamily

LA multifamily sales comparison is central to broker valuations and buyer underwriting. The "comparable closed sales" you should require from any broker BOV come from this approach. Without specific comparable closings, valuations are ungrounded.

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