Interesting as I sit here working on a Report at this time this made me look up, I love this stuff. Yes, first I remove the 11 and 100 just as you did, nice So, what do we do next, PLAY MEAN is DUMB, Mean is Average To calculate the mean, you first add all the numbers together (3 + 11 + 4 + 6 + 8 + 9 + 6 = 47). Then you divide the total sum by the number of scores used (47 / 7 = 6.7). In this example, the mean or average of the number set is 6.7 MODE is even DUMBER, change one of the 103s to 100 and the MODE is Now 100, equal to the MINIMUM, the Outlier you Tossed out, Would you then NEED to Toss both and the 111 and 108 too Median can be Overly Weighted like Average if those above or below the Center are farther away from the center that those of the other side of center I have examples of just this for any time I get questioned on how I got my GRM Your comment on YOUR OPINION about the Best Sales (Comps) is always good, as after all, the Report is about YOUR FINAL OPINION OF VALUE, reached with Support Here is my RANGE of GRM 1 - Remove the Outliers 2 - Find the Median of the remaining Data Set (103.20 here) 3 - Find the AVERAGE of the remaining Data Set (104.20 here) Average is a Weighted Value from the Median based on how far Above or Below the Median the Values are Now you have two Values, Use the Average or Median of those two Values (it will be the Same) 4 - This is what I call the Weighted Median or Weighted Average That value is 103.60 Yes, I used this in COURT When I was done with my Examples both sides were asked by the Judge if they had any more questions each side had the same response NO Your Honor Of my trips to Court (and you never sleep the night before) this was the one I felt best about walking out James
I like when you do these appraisal math lessons keep them coming
Interesting as I sit here working on a Report at this time this made me look up, I love this stuff.
Yes, first I remove the 11 and 100 just as you did, nice
So, what do we do next, PLAY
MEAN is DUMB, Mean is Average
To calculate the mean, you first add all the numbers together (3 + 11 + 4 + 6 + 8 + 9 + 6 = 47). Then you divide the total sum by the number of scores used (47 / 7 = 6.7). In this example, the mean or average of the number set is 6.7
MODE is even DUMBER, change one of the 103s to 100 and the MODE is Now 100, equal to the MINIMUM, the Outlier you Tossed out, Would you then NEED to Toss both and the 111 and 108 too
Median can be Overly Weighted like Average if those above or below the Center are farther away from the center that those of the other side of center
I have examples of just this for any time I get questioned on how I got my GRM
Your comment on YOUR OPINION about the Best Sales (Comps) is always good, as after all, the Report is about YOUR FINAL OPINION OF VALUE, reached with Support
Here is my RANGE of GRM
1 - Remove the Outliers
2 - Find the Median of the remaining Data Set (103.20 here)
3 - Find the AVERAGE of the remaining Data Set (104.20 here)
Average is a Weighted Value from the Median based on how far Above or Below the Median the Values are
Now you have two Values, Use the Average or Median of those two Values (it will be the Same)
4 - This is what I call the Weighted Median or Weighted Average
That value is 103.60
Yes, I used this in COURT
When I was done with my Examples
both sides were asked by the Judge if they had any more questions
each side had the same response
NO Your Honor
Of my trips to Court (and you never sleep the night before) this was the one I felt best about walking out
James
I like when you do these appraisal math lessons keep them coming