What is required for a sale to be excluded from the sales ratio study due to major physical change?

For a sale to be excluded from the sales ratio study due to a major physical change, it is required that the assessed value must either increase or decrease by at least 10%. This criterion is essential because significant alterations to a property could affect its value and the reliability of data used in the sales ratio study. When a property's assessed value changes significantly—whether upwards or downwards—it indicates that a major physical change has occurred that could distort the typical relationship between sale prices and assessed values. Therefore, to maintain the integrity of the analysis and ensure accurate appraisals, these sales are set aside for evaluation.

In contrast, simply increasing the assessed value by 10% or undergoing zoning changes does not encompass the full picture of physical changes impacting property valuation, nor does it account for decreases in value. Additionally, the timing of the sale related to the assessment year is not directly related to assessing major physical changes, thus those options do not meet the necessary criteria for exclusion from the study.