Real Estate Appraisal Quiz PDF

Real Estate Appraisal Instructor Materials Chapter 12 Quiz 1. Which of the following must be disclosed in 6. A letter of transmittal must: the appraisal report? A. be separate from the appraisal report A. General assumptions and conditions...

Real Estate Appraisal Instructor Materials Chapter 12 Quiz 1. Which of the following must be disclosed in 6. A letter of transmittal must: the appraisal report? A. be separate from the appraisal report A. General assumptions and conditions B. include the appraiser’s certi¿cation B. Extraordinary assumptions C. accompany the appraisal report or be in- C. Hypothetical conditions cluded as part of it D. All of the above D. satisfy all the requirements for a self- contained appraisal report 2. The extent of the analysis an appraiser needs to perform is determined based on: 7. In a narrative report, the sales history of the A. the scope of the appraisal problem subject property would normally be included B. whether or not the appraisal report is in in which section? writing A. Letter of transmittal C. the reporting option chosen B. De¿nitions and terms D. whether the appraisal uses a standard C. Table of contents form D. Presentation of data 3. Which is the most complete type of written 8. Which of the following statements about form report? reports is true? A. Appraisal report A. They maNe it more dif¿cult to tailor the B. Summary appraisal report report to the speci¿c appraisal problem C. Descriptive appraisal report B. They do not have to comply with USPAP D. Restricted appraisal report Standard 2 C. The appraiser may not add anything to the report beyond the contents of the form 4. Which of the following is not a required part D. They should not include a certi¿cation of any appraisal report or restricted appraisal report? A. The identity of the client 9. The Uniform Residential Appraisal Report is B. The rationale for highest and best use designated as a/an: C. The de¿nition of value used in the appraisal A. restricted appraisal report D. The value of the property according to the B. descriptive appraisal report income approach C. appraisal report D. self-contained appraisal reports 5. Which of the following statements about a restricted appraisal report is correct? 10. Lenders and government agencies often require A. It must have a warning that the conclusions form reports because: cannot be understood properly without A. the form relieves the appraiser of the obliga- reference to the appraiser¶s worN¿le tion to follow professional standards B. It can be used by persons other than the B. form reports provide the greatest amount appraiser’s client of detail possible C. It does not need to have a certi¿cation C. a standard form allows them to ¿nd infor- D. It must be accompanied by an appendix mation quickly containing the materials the appraiser used D. narrative reports do not require the ap- in preparing the report praiser to sign a certi¿cation 8  Chapter 12: The Appraisal Report 11. The type of form report most commonly re- quired is a/an: A. letter report B. Energy-ef¿cient Property Report C. restricted use appraisal report D. Uniform Residential Appraisal Report 12. On the Uniform Residential Appraisal Report, the total room count typically depends on: A. only bedrooms and bathrooms B. only rooms on the ground Àoor C. local custom D. all rooms in the house 13. The grid in the sales comparison approach sec- tion of the URAR is divided into: A. one column for the subject property and one for each of the comparables B. one column for the subject property and one for all of the comparables together C. one column for the subject property and two for each of the comparables D. two columns for the subject property and two for each of the comparables 14. In an appraisal using the Uniform Residential Appraisal Report, the supervisory appraiser (if there is one) must sign: A. the URAR form only B. a separate certi¿cation only C. both the URAR form and a separate certi- ¿cation form D. neither the URAR form nor a separate certi¿cation form 15. The Uniform Residential Appraisal Report form may be used to report an appraisal of: A. a one-unit property B. a manufactured home C. a condominium unit D. Any of the above 9  Real Estate Appraisal Instructor Materials Answer Key 1. D. All assumptions and conditions 9. C. Form reports may be designated as ap- involved in the appraisal must be dis- praisal reports or restricted appraisal closed as part of the appraisal report. reports, depending on how much detail is included, but the URAR form is al- 2. A. An appraiser should always perform ways an appraisal report. all of the analysis necessary based on the scope of the appraisal problem, 10. C. Using a standard form allows clients to regardless of what form the appraisal ¿nd the information they need quickly report will take. and ef¿ciently when reviewing large numbers of appraisals. 3. B. An appraisal report is the most com- plete type of written report. 11. D. The Uniform Residential Appraisal Report is the most commonly required 4. D. An appraisal report would need to re- form report. port the value according to the income approach if the appraiser used the in- 12. C. Which rooms are included in the total come approach. If he didn’t, he would room count usually depends on local simply need to explain why he did not custom, but the subject property and use the income approach. comparables should be counted the same way. 5. A. A restricted appraisal report must include a prominent warning that the 13. C. The sales comparison approach section appraiser’s opinions and conclusions has one column for property informa- cannot be understood properly without tion about the subject property and additional information contained in the one for each of the comparables, along work¿le. with a second column for each compa- rable in which to indicate adjustments. 6. C. To meet professional standards, a letter of transmittal should either accompany 14. A. A supervisory appraiser must sign the the appraisal report or be incorporated Uniform Residential Appraisal Report as part of the report; it should not be form, which contains the supervisor’s separate from the report. certi¿cation. 7. D. The data about the subject property in 15. A. The revised URAR form may be used a narrative report typically include the only to report an appraisal of a one- sales history of the property. unit property (or a one-unit property with an accessory unit). 8. A. Form reports provide more structure and ensure that speci¿c information is provided, but they also make it harder to tailor the report to the speci¿c ap- praisal problem. 10