Section 50IAC27-5-4. Sample size

   (a) Neighborhoods must have five (5) or more sales if the sales comparison approach is used to value improvements or land, unless the assessing official is able to justify the use of fewer sales in the neighborhood within the ratio study narrative. For greater assessment precision, a larger sample size is needed. Therefore, in accordance with IAAO standards incorporated by reference in 50 IAC 27-1-4, the department will require that adequate sample sizes be used.

  (b) If commercial and industrial improved properties have a limited number of sales, for example, fewer than five (5) sales in the strata, the county must use the other approaches to value as outlined in section 8 of this rule, that is, cost tables, income data, MLS data, etc. (Department of Local Government Finance; 50 IAC 27-5-4; filed Apr 8, 2010, 1:45 p.m.: 20100505-IR-050090502FRA)