Total appraisal adjustment activity on a comparable sale before positive and negative changes offset.
Gross adjustment is the total appraisal adjustment activity on a comparable sale before positive and negative changes offset.
Gross adjustment matters because it can reveal how different a comparable sale really is from the subject property. A comp may have a modest net adjustment but still require many large changes to make it comparable.
It also matters during mortgage review because heavy adjustment activity may raise questions about whether the selected sale is the best available evidence. A high gross adjustment does not automatically make a comp unusable, but it can signal that the comp needs careful explanation.
Borrowers may see gross adjustment discussed in the appraisal grid, review comments, or lender questions about comp quality.
The term becomes practical when the lender, appraiser, or borrower is evaluating whether the selected Comparable Sales (Comps) provide reliable support for the Appraised Value.
| Question | Why gross adjustment helps |
|---|---|
| How much had to be changed? | Shows total adjustment activity |
| Were the comps very different? | Large gross adjustments can suggest weaker similarity |
| Did adjustments cancel out? | Compare gross adjustment with Net Adjustment |
A comp receives $20,000 in upward adjustments and $18,000 in downward adjustments. The net adjustment is only $2,000 upward, but the gross adjustment is $38,000. That gross figure shows the comp required substantial interpretation.
Gross adjustment differs from Net Adjustment because gross adjustment counts total adjustment activity before offsetting, while net adjustment shows the final direction after offsetting.
It differs from Appraisal Adjustment because gross adjustment summarizes multiple adjustments rather than describing a single line-item change.
It also differs from Comparable Sale Selection because selection is the choice of comps, while gross adjustment helps judge how much work those comps needed after selection.