Podcast
Questions and Answers
The Principle of ___________ holds that the value of a property tends to be set by the price that would be paid to acquire a property of similar utility and desirability within a reasonable amount of time.
The Principle of ___________ holds that the value of a property tends to be set by the price that would be paid to acquire a property of similar utility and desirability within a reasonable amount of time.
- Contribution
- Balance
- Anticipation
- Substitution (correct)
The Principle of ___________ is the underlying principle in the adjustment process in the sales comparison approach.
The Principle of ___________ is the underlying principle in the adjustment process in the sales comparison approach.
- Contribution
- Substitution (correct)
- Change
- Anticipation
A major principle in the sales comparison approach holds that the relationship between a property and its environment must be in __________ for a property to reflect its optimum market value.
A major principle in the sales comparison approach holds that the relationship between a property and its environment must be in __________ for a property to reflect its optimum market value.
- Balance (correct)
- Harmony
- Equilibrium
- Synchrony
A major advantage of the sales comparison approach is that it reflects the actions of __________ and __________ in the market.
A major advantage of the sales comparison approach is that it reflects the actions of __________ and __________ in the market.
A unit of comparison that would be applicable to single-family residential property is the __________ or __________.
A unit of comparison that would be applicable to single-family residential property is the __________ or __________.
A unit of comparison that would be applicable to agricultural farmland or larger rural residential tracts would be the __________.
A unit of comparison that would be applicable to agricultural farmland or larger rural residential tracts would be the __________.
List the order of adjustments in the sales comparison approach.
List the order of adjustments in the sales comparison approach.
Which method of determining adjustments in the sales comparison approach cannot be used to determine market conditions (changes in value over time)?
Which method of determining adjustments in the sales comparison approach cannot be used to determine market conditions (changes in value over time)?
A cardinal rule in the sales comparison approach holds that all adjustments are made to the ________________________ property, and never to the ___________________.
A cardinal rule in the sales comparison approach holds that all adjustments are made to the ________________________ property, and never to the ___________________.
The Principle of __________ states that market value is never constant because physical (environmental), governmental, social, and economic forces are at work, affecting the property
The Principle of __________ states that market value is never constant because physical (environmental), governmental, social, and economic forces are at work, affecting the property
When the four forces—environmental, governmental, social, and economic—are in balance, the market achieves a temporary state of __________.
When the four forces—environmental, governmental, social, and economic—are in balance, the market achieves a temporary state of __________.
__________ analysis, which is used primarily in single-property appraisal, requires the sale properties to be identical in all attributes except the one being measured (or adjustments have already been made for any differences).
__________ analysis, which is used primarily in single-property appraisal, requires the sale properties to be identical in all attributes except the one being measured (or adjustments have already been made for any differences).
The sales comparison approach usually can/cannot be used to value special-purpose or one-of-a-kind properties.
The sales comparison approach usually can/cannot be used to value special-purpose or one-of-a-kind properties.
In the sales comparison approach, step two is data collection and verification. This requires the appraiser to collect and verify general, __________, and comparative data.
In the sales comparison approach, step two is data collection and verification. This requires the appraiser to collect and verify general, __________, and comparative data.
The unit of comparison that is generally used in valuing office properties is the __________.
The unit of comparison that is generally used in valuing office properties is the __________.
Price per animal unit might be the appropriate unit to use in the valuation of __________.
Price per animal unit might be the appropriate unit to use in the valuation of __________.
Flashcards
Principle of Substitution
Principle of Substitution
Property value is determined by the price of comparable, similar properties.
Principle of Balance
Principle of Balance
For a property to reflect its best market value, it must have a proper relationship with its surroundings.
Sales Comparison Approach Advantages
Sales Comparison Approach Advantages
Reflects market actions of buyers and sellers.
Units of Comparison - Single-Family
Units of Comparison - Single-Family
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Units of Comparison - Agricultural
Units of Comparison - Agricultural
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Sales Comparison Approach Adjustment Order
Sales Comparison Approach Adjustment Order
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Non-Determinable Market Conditions
Non-Determinable Market Conditions
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Adjustment Application in Sales Comparison
Adjustment Application in Sales Comparison
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Principle of Change
Principle of Change
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Market Equilibrium
Market Equilibrium
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Paired-Sales Analysis
Paired-Sales Analysis
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Special-Purpose Property Valuation
Special-Purpose Property Valuation
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Sales Comparison Data Collection
Sales Comparison Data Collection
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Office Property Unit of Comparison
Office Property Unit of Comparison
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Agricultural Pastureland Valuation Unit
Agricultural Pastureland Valuation Unit
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