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单词 Cost approach
释义

Cost approach

英语百科

Cost approach

In real estate appraisal, the cost approach is one of three basic valuation methods. The others are market approach, or sales comparison approach, and income approach. The fundamental premise of the cost approach is that a potential user of real estate won't, or shouldn't, pay more for a property than it would cost to build an equivalent. The cost of construction minus depreciation, plus land, therefore is a limit, or at least a metric, of market value.

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