Appraising

What Is The Principle of Substitution In Real Estate?

Remember the Payless Shoe Source's slogan, "You could pay more, but why?" In that question lies a principle that every appraiser has to consider in the appraisal process. In real estate, it is called the principle of substitution. What is it? The principle of substitution is basically this: If there are multiple properties that are… Continue reading What Is The Principle of Substitution In Real Estate?