Which approach is emphasized the most when appraising a two-bedroom, owner-occupied property?

The sales comparison approach is emphasized the most when appraising a two-bedroom, owner-occupied property because it provides an accurate reflection of the property's market value based on recent sales of similar properties in the area. This method involves comparing the subject property to comparable properties, often referred to as "comps," which have recently sold. Adjustments are made for differences in features, size, condition, and location to arrive at a more precise valuation.

This approach is particularly effective for residential properties, like a two-bedroom home, where the market dynamics are heavily influenced by comparable transactions. Buyers and sellers in the residential market usually rely on recent sales data to determine fair prices, making the sales comparison approach both relevant and reliable.

Other methods, such as the cost approach and income approach, may also have their uses in certain appraisals. The cost approach is more suited for new construction or special-use properties where replacement costs can be calculated. The income approach primarily applies to investment properties generating rental income, so it lacks relevance for an owner-occupied, single-family residence. The market value approach can sound similar to the sales comparison approach but isn't a distinct method; rather, it represents the outcome that various appraisal methods aim to identify, making it less focused than the sales