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| Empirical Investigation into the Limitations
of the Normative Paired Sales Adjustment Method Author: Marvin L. Wolverton Start Page: 191 Abstract: This study investigates the normative paired sales adjustment
method employed by appraisers in the sales comparison approach. It finds that the method
fails to account for the diminishing marginal price effects of property attributes. The
study develops an empirical model to test the marginal price effects of view and lot-size
amenities. The finding is that the empirical data confirm land economic theory and
identify a need to study and develop improved methods for estimating adjustments to
comparable sales. |
