300 REVIEW QUESTIONS CHAPT 1

The definition of mass appraisal is the systematic appraisal of groups of properties, as of a given date, using standardized procedures and _____

Building costs, economic conditions, and interest rates are _____ factors.

Location, condition, and construction quality are _____ factors.

The basic structure of a model for the sales comparison approach is _____

_____ involves the determination of what data to include in the model and in what format.

Determining the rates used in a model, such as adjusting formulas, tables, or schedules to the current market is known as _____

MV = LV + BV is the basic model structure for the _____ approach.

Net operating incomes and capitalization rates are requirements for the _____ model.

Property valuation models seek to explain or predict the _____ of properties from real estate sales and related data.

The hybrid (additive/multiplicative) cost model would be _____

The _____ is acceptable when it meets or exceeds the expectations of parties who are regularly intended users for similar assignments; and what an appraiser's peers' actions would be in performing the same or a similar assignment.

How many steps are in the general appraisal process?

An appraiser establishes the date of value opinion, defines the value to be developed, and identifies the property rights to be appraised. This is part of the _____

The scope of work rule has three parts and they are:

Mass Appraisal

Mass appraisal is a systematic method to assess groups of properties at a specific date.
It employs standardized procedures and utilizes statistical testing to maintain uniformity.

Influencing Factors

Building costs, economic conditions, and interest rates are supply factors that affect property availability.
Location, condition, and construction quality are demand factors that influence property desirability.

Sales Comparison Approach

The basic structure for the sales comparison approach is represented by the formula: MVs = Sc + ADie.

Model Specification

Model specification determines relevant data to include in models and the format for data use.

Model Calibration

This process involves adjusting rates and formulas in models to align with current market conditions.

Cost Approach Model

The equation MV = LV + BV describes the cost approach in property appraisal, indicating market value as the sum of land value and building value.

Income Model

The income model relies on net operating incomes and capitalization rates to assess value.

Property Valuation Models

Valuation models aim to explain or predict the market value of properties based on real estate sales and related data.

Hybrid Cost Model

The hybrid cost model is illustrated by the equation MV = GO x Pt x LSIZE + IPL x BSIZE, combining both additive and multiplicative structures.

Scope of Work

Acceptability of the scope of work depends on meeting the expectations of users and similar assignments performed by appraisers.

General Appraisal Process

The general appraisal process involves seven key steps that guide appraisers through a systematic evaluation.

Defining the Valuation Problem

An appraiser's initial tasks include establishing the date of value opinion, defining the value to be developed, and identifying the property rights involved.

Scope of Work Rule

The scope of work rule consists of three parts: identifying the problem, determining and performing the scope of work, and disclosing the scope of work.