Sale Improvement Adjustment

(Collectively Once; 2-page form-set that can be expanded by group, location, or specialty buildsings)

History: The Classic Forms maintains the user's ability to appraise the subject land and building differences multiple times, once from each sale as before.  Prior users will recall pulling in the following for the pages for the adjustments:

Land and Building Adjustment 1

Land and Building Adjustment 2

Land and Building Adjustment 3

Land and Building Adjustment 4

Land and Building Adjustment 5

Land and Building Adjustment 6

Land and Building Adjustment 7

Land and Building Adjustment 8

Land and Building Adjustment 9

Land and Building Adjustment 10

New Forms (2020):  With the new ER Land-Mix procedure, the land adjustment is relegated to a single-line and calculation in the SCA Grid.  Ag-Ware's solution to address the buildings was to group the improvements showing the structures for four (4) sales on one page (Form 1660 & identified in "Help" as 4-Sale Imp Adj by Sale) labeled as "SCA Improvement Adjustment - MULTIPLE" in the Forms Library.

Appraising Subject Buildings ONCE:   This new procedure requires two (2) pages minimum; however, the first page can be entered multiple times depending on the property complexity.  For clarity, assume the subject has: 

    1. set of older functional farmstead buildings with remaining utility used as labor housing and equipment maintenance/storage, 
    2. a newer grain handling complex in a second location, and 
    3. another building intensive location (feedlot with multiple buildings) in a third location.

Your form-set would then include the following pages:

      • Form 1526:  SCA - Building & Site Improvement Valuation (page 1) for farmstead
      • Form 1526:  SCA - Building & Site Improvement Valuation (page 2) for grain complex
      • Form 1526:  SCA - Building & Site Improvement Valuation (page 3) for feedlot
      • Form 1662:  SCA - Improvement Adjustment (page) --- the summary of pages 1-3 and adjustment calculations.

Each of the first three (3) pages would include a grid of sale improvements from similar structures.  They are arrayed by building group.  Note, the buildings have been justified by type and contribution ($/unit) in the same manner (left, right, and center) to assist the reader.   

The process hit the "Import Sales" button (red box).  That imports the structures from the sales in the report container.  Then a qualitative statements made in the last column (green box) to bracket the value of the subject's buildings in this location or specialty structural category.

Again, the second page (if desired) of the same form would display the grain complex.  Separate pages are suggested because if there are multiple buildings at each location, there is likely insufficient room to display enough sales to provide a valuation basis for each structure in each location.

The same general statement applied to the third page (if desired) for the feedlot improvements.

Subject's Buildings:  The subject structures are appraised once from the sale contributions available.  The $/unit applied below, building-by-building, then totaled for Page 1 (Headquarters) at $426,750:

The second page in this example is the summary page.  The yellow box contains the hypothetical three (3) pages of building groups with subject conclusion (red) from the prior page and only page used for this Case Study.  The small green box displays the subject conclusion at $667/acre.  The purple box includes the sale buildings expressed as $/acre, then subtracting the subject buildings (green) = the adjustment in the SCA "Split-Time" Grid (red) for each sale individually.