Which method is commonly used to analyze the economic and physical characteristics of properties?

The comparative unit method is commonly used to analyze the economic and physical characteristics of properties by comparing similar properties that have been sold or rented recently. This method helps assessors establish a value based on the characteristics that drive value, such as location, size, and condition of the property.

By utilizing sales data from comparable properties, appraisers can derive a unit value (often per square foot) and apply this to the subject property. This approach is particularly useful in markets where recent sales data is available for similar types of properties, allowing assessors to adjust values based on unique characteristics that may affect price, such as upgrades or proximity to amenities.

The other methods, while important, focus on different aspects. The cost approach considers the cost to replace or reproduce a property minus depreciation; the income approach emphasizes the property's ability to generate income; and the asset approach looks at the residual value of the economic benefits of ownership. Each of these methods serves specific purposes in valuation, but the comparative unit method is particularly relevant for analyzing physical and economic characteristics for market-oriented assessments.