Valuing Income Property e-Course Example
	Type	4-plex	2-bedroom/1-bath units
	Age	15
	SqFt	3480	870
Component	Cost	Life	Percent Deteriorated	Accrued Depreciation	Note
Design & Engineering	7,000	100	15	1,050
Permits	4,500	100	15	675
Excavation	4,000	100	15	600
Exterior Utilities	4,800	100	15	720	1
Concrete	5,000	100	15	750
Carpentry, shell	15,000	100	15	2,250
Pre-fab trusses	4,000	100	15	600
Roof sheathing	3,900	100	15	585
Roofing	3,600	25	60	2,160	2
Electrical, incl. Lighting	7,700	100	15	1,155
Interior plumbing	7,600	100	15	1,140
Heating/cooling	7,900	25	60	4,740	2
Plumbing Fixtures	1,600	50	30	480	2
Cabinetry	14,000	50	30	4,200	2
Appliances	3,600	35	43	1,543	2
Mini-blinds	1,700	5	NA, see note 3	300	2, 3
Insulation	6,000	100	15	900
Drywall	11,000	100	15	1,650
Carpentry, interior	10,000	100	15	1,500
Windows & doors	5,000	100	15	750
Flooring - carpet	4,000	8	NA, see note 3	1,500	2, 3
Flooring - vinyl	1,600	20	NA, see note 3	600	2, 3
Interior painting	4,800	5	NA, see note 4	1,500	2, 4
Stucco	8,000	100	15	1,200	2
Exterior painting	2,000	7	NA, see note 4	1,200	2, 4
Parking area paving	4,000	50	30	1,200	2
Carports	9,000	50	30	2,700	2
Fencing	1,500	25	60	900
Landscaping	3,000	50	30	900	2
Irrigation	2,000	50	30	600
Equipment rental	500	100	15	75
Miscellaneous	5,000	100	15	750
Overhead & profit	17,000	100	15	2,550
Loan costs	4,800	100	15	720
Other carrying costs	3,500	100	15	525	5
Total Cost	198,600			44,668
$/SF	57.07
Land Cost	35,000
Construction Cost	198,600
Total Cost	233,600
Accrued Depreciation	(44,668)
Value	188,932
$/SF	54.29
1. Water, sewer, electric, phone, cable TV
2. Considering both chronological age and condition.
3. Takes into account fact that some were changed out over the past few years
and are not original.
4. Takes into account fact that units were re-painted over past few years.
5. Includes property tax and insurance prior to rent-up.