Ohio Certified General Appraiser Exam
Practice Questions And Correct Answers
(Verified Answers) Plus Rationales
2025|2026 Q&A | Instant Download Pdf
1. The most important characteristic of value is:
A. Cost
B. Utility
C. Scarcity
D. Transferability
Rationale: Utility refers to the ability of a property to satisfy a human need,
which is a fundamental characteristic of value.
2. An appraiser using the cost approach would most likely use which
method to estimate depreciation?
A. Market extraction
B. Age-life method
C. Sales comparison
D. Income capitalization
,Rationale: The age-life method estimates depreciation based on the
effective age of the property relative to its total economic life.
3. Highest and best use analysis is required to:
A. Determine the tax assessment
B. Identify the most profitable use of the property
C. Estimate replacement cost
D. Calculate mortgage value
Rationale: Highest and best use ensures the property is valued according to
its most profitable legally permissible, physically possible, and financially
feasible use.
4. Which of the following is a principle of value?
A. Diminishing utility
B. Substitution
C. Inflation
D. Risk
Rationale: The principle of substitution states that a buyer will pay no more
for a property than the cost of acquiring a similar substitute property with
the same utility.
5. In a sales comparison approach, adjustments are made:
A. To the sale price of the subject property
B. To the listing price
, C. To the comparable property
D. To the appraisal date
Rationale: Adjustments are made to comparable sales to account for
differences between them and the subject property.
6. Functional obsolescence is generally caused by:
A. Location
B. Market trends
C. Design deficiencies
D. Economic recession
Rationale: Functional obsolescence arises from inadequacies in design,
layout, or utility of a property.
7. The principle that the value of a property tends to be influenced by
the value of surrounding properties is:
A. Substitution
B. Conformity
C. Anticipation
D. Contribution
Rationale: Conformity suggests that a property’s value is maximized when it
is consistent with surrounding properties.
8. Which appraisal approach is most appropriate for a single-family
residence?
A. Cost approach
, B. Sales comparison approach
C. Income approach
D. Extraction approach
Rationale: The sales comparison approach is most suitable for residential
properties because it reflects market behavior of buyers and sellers.
9. The capitalization rate is used in which appraisal method?
A. Cost approach
B. Sales comparison approach
C. Income approach
D. Gross rent multiplier
Rationale: The capitalization rate converts income into an estimate of
property value in the income approach.
10. The term “accrued depreciation” refers to:
A. Future depreciation expected
B. Loss in value from all causes as of the appraisal date
C. Market decline
D. Tax depreciation
Rationale: Accrued depreciation measures the total loss in value from
physical deterioration, functional obsolescence, and external obsolescence.
11. A reconciliation in appraisal reports is:
A. Determining the highest and best use
B. Selecting the final value opinion
Practice Questions And Correct Answers
(Verified Answers) Plus Rationales
2025|2026 Q&A | Instant Download Pdf
1. The most important characteristic of value is:
A. Cost
B. Utility
C. Scarcity
D. Transferability
Rationale: Utility refers to the ability of a property to satisfy a human need,
which is a fundamental characteristic of value.
2. An appraiser using the cost approach would most likely use which
method to estimate depreciation?
A. Market extraction
B. Age-life method
C. Sales comparison
D. Income capitalization
,Rationale: The age-life method estimates depreciation based on the
effective age of the property relative to its total economic life.
3. Highest and best use analysis is required to:
A. Determine the tax assessment
B. Identify the most profitable use of the property
C. Estimate replacement cost
D. Calculate mortgage value
Rationale: Highest and best use ensures the property is valued according to
its most profitable legally permissible, physically possible, and financially
feasible use.
4. Which of the following is a principle of value?
A. Diminishing utility
B. Substitution
C. Inflation
D. Risk
Rationale: The principle of substitution states that a buyer will pay no more
for a property than the cost of acquiring a similar substitute property with
the same utility.
5. In a sales comparison approach, adjustments are made:
A. To the sale price of the subject property
B. To the listing price
, C. To the comparable property
D. To the appraisal date
Rationale: Adjustments are made to comparable sales to account for
differences between them and the subject property.
6. Functional obsolescence is generally caused by:
A. Location
B. Market trends
C. Design deficiencies
D. Economic recession
Rationale: Functional obsolescence arises from inadequacies in design,
layout, or utility of a property.
7. The principle that the value of a property tends to be influenced by
the value of surrounding properties is:
A. Substitution
B. Conformity
C. Anticipation
D. Contribution
Rationale: Conformity suggests that a property’s value is maximized when it
is consistent with surrounding properties.
8. Which appraisal approach is most appropriate for a single-family
residence?
A. Cost approach
, B. Sales comparison approach
C. Income approach
D. Extraction approach
Rationale: The sales comparison approach is most suitable for residential
properties because it reflects market behavior of buyers and sellers.
9. The capitalization rate is used in which appraisal method?
A. Cost approach
B. Sales comparison approach
C. Income approach
D. Gross rent multiplier
Rationale: The capitalization rate converts income into an estimate of
property value in the income approach.
10. The term “accrued depreciation” refers to:
A. Future depreciation expected
B. Loss in value from all causes as of the appraisal date
C. Market decline
D. Tax depreciation
Rationale: Accrued depreciation measures the total loss in value from
physical deterioration, functional obsolescence, and external obsolescence.
11. A reconciliation in appraisal reports is:
A. Determining the highest and best use
B. Selecting the final value opinion
