u/Alpine-Jon

I invest in 1-4 family properties and come across this often. I think in price per unit using the sales approach for after repair value… but I’ve spoken to brokers who try to push cap rate logic or price per sf.

I use PPU due to having an easier time estimate what an appraiser will value the property along with potential adjustments v a straight price per sf methodology or a cap rate method that isn’t ever considered for 1-4 family.

Anyone else have this issue? How do you convince your opposing side to see your thought process? I’ve gotten just a shrug and they don’t care lol