Which appraisal method utilizes statistical data from multiple similar properties?

The Market Comparison Approach is the correct answer because it specifically relies on the analysis of sales data from multiple similar properties, often referred to as "comps." This method involves comparing the property being appraised with other recently sold properties in the same market area that share similar characteristics such as location, size, and features. By evaluating these comparable sales, appraisers can derive a more accurate estimate of value for the property in question.

This approach is highly effective in reflecting current market trends since it is grounded in actual transactions and can provide a clear picture of what buyers are willing to pay for similar properties. It reflects the law of supply and demand within the real estate market, which is essential for establishing fair market value.

The other methods listed do not specifically focus on the comparative sales data. The Cost Approach estimates value based on the cost to replace or reproduce the property, rather than comparing it to similar properties. The Income Method focuses on the income-generating potential of a property, applied primarily to investment real estate, and the Sales Data Report is not a recognized appraisal method per se, but rather a tool or document sometimes used in these evaluations.