What is the first step an appraiser takes when using the sales comparison approach?

The first step an appraiser takes when using the sales comparison approach is to identify features of the subject property. This process involves gathering detailed information about the subject property that will serve as the basis for comparison with similar properties that have recently sold in the market. Identifying key features such as the property's size, location, condition, and special amenities lays the groundwork for effective comparisons.

Understanding the specifics of the subject property allows the appraiser to select the most relevant comparables from the market. This foundational step is crucial because the accuracy of the appraiser’s analysis relies heavily on a thorough understanding of the property being appraised. Without this initial identification, the subsequent steps, like gathering data from previous sales or analyzing market trends, would not be grounded in the specific characteristics and value proposition of the subject property.