Opinions of value can recognize both local and national indicators when appraisers value multifamily rental properties, according to an article from the Fall 2019 issue of The Appraisal Journal.
“Challenges with Appraising in the Secondary/Tertiary Multifamily Rental Market” by William J. Kimball, MAI, demonstrates how national indicators and statistical data from the internet can be analyzed and used to augment typical local market analysis.
The author addresses the valuation of investment-grade and non-investment-grade apartments within secondary/ tertiary markets. He notes that despite access to increasing amounts of statistical data via the internet through national data sources, values still are primarily derived by local market activity. He adds that outside information, however, can be supportive in some cases in valuation in secondary/tertiary markets.
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