RESIDENTIAL MARKET ANALYSIS
COMPREHENSIVE EXAMS SET TESTED
QUESTIONS AND CORRECT ANSWERS
●● The development of a vacant land area is _____________ the highest
and best use of the land.
Answer: Not Always
●● The Consistent-Use Theory says the _______________ must all be
valued considering the same highest and best use of the property
Answer: Land and the Buildings
●● ________________ involves subdividing the larger market into a
workable study area.
Answer: Market Identification
●● The ________________ Cycle of a neighborhood is characterized by
demand and supply trending toward equilibrium.
Answer: Stability
●● Eminent domain is the right of the government to take private
property, for public good, with __________________.
Answer: Just Compensation
,●● The improvements are normally valued for their ___________ value
relative to the highest and best use of the land.
Answer: Contributory
●● The right of eminent domain may be exercised by these 3.
Answer: State government agencies
Public service companies
Local government
●● The relationship between the supply and the demand for a site's
particular highest and best use is a part of the analysis of
___________________ .
Answer: Financial Feasibility
●● All of these are Governmental restrictions on land use EXCEPT
______________________.
Answer: Deed Restrictions
●● Because of the Principle of _______________ the appraiser's
opinion of value is always "as of" a specific date or time.
Answer: Change
,●● Another name for a market segment is a ____________________.
Answer: Submarket
●● A _______________ neighborhood is said to be in conformity.
Answer: Homogenous
●● Which statement is NOT true regarding market identification?
Answer: The market should include all properties in a geographic area.
●● The market is too nebulous to analyze as a whole, so the appraiser
must segment the market into ______________ in order to look for
trends.
Answer: Components
●● The two types of data that are used in market analysis are
_________________.
Answer: General and Specific
●● Which of these is NOT one of the ingredients of a Highest and best
Use?
Physically possible
Legally Permissible
Financially feasible
, Consistent Use
Answer: Consistent Use
●● Which of these is NOT one of the four agents of production?
Land
Building Codes
Labor
Capital
Answer: Building Codes
●● USPAP says that "appraisers are cautioned to identify the exact
definition of market value and ____________________"
Answer: its authority.
●● Legally nonconforming use is "a use that was lawfully established
and maintained, but no longer conforms to the use regulations of the
_______________ in the zone where it is located."
Answer: Current zoning
●● The cost of foregoing one type of investment for another is the
Principle of __________________.
Answer: Opportunity Costs
COMPREHENSIVE EXAMS SET TESTED
QUESTIONS AND CORRECT ANSWERS
●● The development of a vacant land area is _____________ the highest
and best use of the land.
Answer: Not Always
●● The Consistent-Use Theory says the _______________ must all be
valued considering the same highest and best use of the property
Answer: Land and the Buildings
●● ________________ involves subdividing the larger market into a
workable study area.
Answer: Market Identification
●● The ________________ Cycle of a neighborhood is characterized by
demand and supply trending toward equilibrium.
Answer: Stability
●● Eminent domain is the right of the government to take private
property, for public good, with __________________.
Answer: Just Compensation
,●● The improvements are normally valued for their ___________ value
relative to the highest and best use of the land.
Answer: Contributory
●● The right of eminent domain may be exercised by these 3.
Answer: State government agencies
Public service companies
Local government
●● The relationship between the supply and the demand for a site's
particular highest and best use is a part of the analysis of
___________________ .
Answer: Financial Feasibility
●● All of these are Governmental restrictions on land use EXCEPT
______________________.
Answer: Deed Restrictions
●● Because of the Principle of _______________ the appraiser's
opinion of value is always "as of" a specific date or time.
Answer: Change
,●● Another name for a market segment is a ____________________.
Answer: Submarket
●● A _______________ neighborhood is said to be in conformity.
Answer: Homogenous
●● Which statement is NOT true regarding market identification?
Answer: The market should include all properties in a geographic area.
●● The market is too nebulous to analyze as a whole, so the appraiser
must segment the market into ______________ in order to look for
trends.
Answer: Components
●● The two types of data that are used in market analysis are
_________________.
Answer: General and Specific
●● Which of these is NOT one of the ingredients of a Highest and best
Use?
Physically possible
Legally Permissible
Financially feasible
, Consistent Use
Answer: Consistent Use
●● Which of these is NOT one of the four agents of production?
Land
Building Codes
Labor
Capital
Answer: Building Codes
●● USPAP says that "appraisers are cautioned to identify the exact
definition of market value and ____________________"
Answer: its authority.
●● Legally nonconforming use is "a use that was lawfully established
and maintained, but no longer conforms to the use regulations of the
_______________ in the zone where it is located."
Answer: Current zoning
●● The cost of foregoing one type of investment for another is the
Principle of __________________.
Answer: Opportunity Costs
