The new appraisal text book is using an ER factor for making land adjustments. This is an “Equivalency Ratio” or “Equivalency Rating” depending on who is talking at the time.
We added 2 new fields in DataLog, located at the bottom of the Land Mix Analysis Section.
“ER Land Use” and “ER Factor”
The formula to calculate the ER Factor is:
(Total Land Value / $/Acre) / Eff. Unit Size * 100
So assuming an Effective Unit Size of 760.73,
(600,000 / 684.28) /760.73 * 100 = 115% (rounded)
Normally, ER Land Use is the Name of the first row in the land table that has a Dollar Per acre value. In this case, the very first row (Pasture) had a $/Acre value of zero, so we are using the land use of the second row (“Low Utility Land”).
The user can unlock the ER Land Use cell and select a different Land Use, the math is automatically triggered to reflect the ER Factor for that land use.
The calculation must be tiered. The Land use is set first, then the value based on that row. If the user Overrides the land use name and types in a value, the ER Factor is calculated based on that value.
|By default the first land row with a $/Acre is used
First land row with $/Acre is D Crop A
|Example unlocking the cell and manually naming the ER Land Use:
Unlocking and renaming the field to another valid land row uses that $/Acre
Another Example this time showing that the first land row with a $/Acre is used: