A: Originally posted on Dec 15th, 2010 after requests on this topic - I got inspiration for this post from Paul Zweben of Elliman who publishes HungryDomaine.com. When I do a comps analysis for a buyer client I do four main types of adjustments to come up with some idea of a fair market trading range for the target property: a floor adjustment, a size adjustment, a time adjustment, and a renovation adjustment. For now, lets discuss the floor adjustment and what I like to call the Floor Multiplier. Before I began I want to start out by saying that any type of floor adjustment is an imperfect science. There is no hard and fast rule and since the market doesn't exist in a vacuum, its impossible to predict how any one buyer will ultimately value the light/view/exposure differences between [More...]