valuation of a 2-4 unit property -- do rents count at all?

[Mike R.]

Hi all,

I know residential properties are valued using comparable sales. But do rents come into play at all? Say you have two triplexes that are identical in most every respect, except one rents for $500 per unit and the other rents for $600. Maybe the units are a little nicer, the landlord markets them better, whatever. If this were a commercial property, the $600-per-unit triplex would be worth $36,000 more than the $500-per-month unit at a 10 cap. Since this isn't a commercial property, how would you account for the rent differential, if at all?

Thanks,

Mike