What is the primary purpose of the Depth Factor in property appraisal?

The primary purpose of the Depth Factor in property appraisal is to adjust for properties with additional area. This concept stems from the understanding that not all land is equally valuable based on its depth. As properties increase in depth, they may not necessarily maintain proportional value compared to properties with a more standard shape or depth. The depth factor helps appraisers quantify how much the excess depth influences the overall appraisal value of the property, ensuring accurate adjustments are made to reflect the true market value.

This adjustment recognizes that as depth increases, the land may become less desirable or useful for certain types of development or usage, which can affect its market value. Properly applying the depth factor allows appraisers to arrive at a more precise valuation that reflects market realities and property characteristics.