PRINCIPLES OF REAL ESTATE 2()EXAM WITH COMPLETE UPDATED SOLUTION

Loss of value due to lack of modernization is called: - answerFunctional obsolescence The is considered the most reliable approach to value because it is based on verifiable market events. - answerSales comparison approach A loss in a property's value due to daily wear and tear is an example of - answerPhysical deterioration The appraiser will use the cost approach to value: - answerA unique building A real property appraisal will contain an analysis of the each of the following, EXCEPT: - answerPersonal property The appraisal principle of conformity tells us that a house is worth the most when: - answerIt is in a neighborhood of similarly priced homes Official property value for tax purposes is called: - answerAssessed value The appraisal principle of states that the purchase price of a property is affected by the expectation of future appeal and benefits. - answerAnticipation The best definition of market value is: - answerThe most probable price a property should bring in a competitive and open market The effective age of a house can be younger than its if it has been well-maintained. - answerChronological age In which approach to value is the appraiser calculating depreciation as a factor along with land value and replacement cost for a structure? - answerThe Cost Approach