Adjustments to comparable site prices are measured by what?

• A. The square footage of the land
• B. The distance between the subject and the comparables
• C. The year of sale of the comparables
• D. The amount paid by typical buyers as reflected in comparable market transactions

Answer: (D)

When adjusting for differences in land, the adjustment should come from market evidence—what buyers actually paid for similar parcels. This reflects how the market values site features in real conditions, giving you a dollars-based adjustment that aligns the comparables with the subject property.

Using the square footage of the land would tie the adjustment to a physical size rather than to how much buyers are willing to pay for that difference. Distance between the subject and the comparables influences which comparables are chosen and how their values relate, but it isn’t the measure used to determine the adjustment itself. The year of sale is used to account for changes in market conditions over time, not to determine the value difference of site attributes.

So, the adjustment basis is the amount paid by typical buyers as reflected in comparable market transactions.