By what other name is the market comparison method of measuring depreciation known?

The market comparison method of measuring depreciation is also known as market extraction. This approach involves analyzing comparable properties that have sold in a specified time frame to estimate the depreciation of a subject property based on observed market behavior. It assesses how much value has been lost over time by observing the differences in sales prices of similar properties, allowing appraisers to extract data regarding the depreciated value.

This method is particularly useful because it considers the actual transactions and market conditions, leading to a more grounded and realistic assessment of property values. By using the sales data from similar properties, appraisers can adjust the subject property's value based on the inferred depreciation rates observed in the market, providing a reliable method for determining value loss over time.

The other methods listed, while related to valuation, serve different purposes: the cost approach focuses on the cost to replace or reproduce a property, the income approach centers on the property's ability to generate income, and the sales comparison method compares the subject property to recently sold properties without directly focusing on depreciation specifically.