Appraisal Adjustment Calculator

Calculate Appraisal Adjustment Factor







Formula

The formula to calculate the Appraisal Adjustment Factor is:

\[ AF = \frac{P1 - P2}{SQF1 - SQF2} \]

Where:

What is an Appraisal Adjustment Factor?

An appraisal adjustment factor measures the ratio of the difference between the price and square footage of two different properties. It’s used to account for any changes in demand that can occur around properties on a short-term basis.

Example Calculation

Let's assume the following values:

Using the formula:

\[ AF = \frac{300,000 - 250,000}{2000 - 1800} = \frac{50,000}{200} = 250 \]

The Appraisal Adjustment Factor is 250.