REL APPRAISAL EXAM 1 (CH 1,2,3)
QUESTIONS AND ANSWERS
An annual salary of $56,000 is equal to hourly wage of ..... per hour - ANS-$27.00
when a life estate is created, a future interest is created at the same time. The future
interest is a/an....... if the property will revert to the grantor when the life estate ends -
ANS-Estate in reversion
All partial or fractional interests in real estate are created from the - ANS-fee simple
estate
When an appraiser is asked to evaluate an appraisal prepared by someone else the
assignment is referred to as? - ANS-appraisal review
The minimum qualifying credit score to qualify for a loan is estimated to be? - ANS-620
Eminent domain is the government power to - ANS-take private property for public use
A temporary tax levied only on certain properties in order to cover the cost of public
improvements that benefit those properties is called? - ANS-Special Assessment
__________________ Arises if the tenant remains in possession of the property without
consent of the landlord. - ANS-Tenancy at sufferance
In _______________ the first nationally recognized standards for appraisal practice
were published by the Appraisal Division of NAtional Association of Real Estate Boards.
- ANS-1929
The Colorado State Board of Appraisers requires a person who wants to be a Certified
Residential appraiser to have a College degree and complete _____________hours of
appraisal education and complete ______________ hours of training. - ANS-200, 1,500
hours
The right to use an easement for access is a/an ____________ that goes along with
ownership of the property. - ANS-appurtenant right
An example of a social force that could affect real estate values is: - ANS-Population
shifts
, Forces that influence the availability and cost of capital and the purchasing power of
buyers which affect value in the market is/are called? - ANS-economic forces
______________________ is set by each state taxing authority fir the purpose if
assessing ad valorem property taxes. - ANS-assessed value
Which type of value is a variation on market value, used for situations when the owner
of a property must sell quickly? - ANS-Liquidation value
An overreaction or overcorrection by the market brought on by the lure of excess profit
is called? - ANS-principle of competition
Highest and Best Use - ANS-Physically Possible, Financially Feasible, & Legally
Permissible
________________ are a series of rules that describes how value is created in he real
estate market - ANS-principle of value
The concept of market value assumes that - ANS-Neither buyer nor seller is acting
under duress
The type of value that is estimated in most real estate appraisals is: - ANS-market value
The principle of conformity states that property values are enhanced when: - ANS-the
uses of surrounding properties conform to the use of the property being appraised
The most common obstacle to a potential use for a particular property is: - ANS-zoning
laws
______________ is the value used when lender is deciding whether to foreclose on
delinquent loan. - ANS-Liquidation
Surplus productivity is attributed to: - ANS-land
The process used when an appraiser values both a house and its lot for residential use
even though the lot would be worth more if used for commercial purposes is called?. -
ANS-Consistent use
A large, luxurious home is located in a neighborhood of small, inexpensive properties.
The home is worth less than it would be in a neighborhood of similarly upscale
properties. This is known as: - ANS-regression
The principle of Highest and Best Use holds that - ANS-The market views the value of
the property in light of all possible legal uses
QUESTIONS AND ANSWERS
An annual salary of $56,000 is equal to hourly wage of ..... per hour - ANS-$27.00
when a life estate is created, a future interest is created at the same time. The future
interest is a/an....... if the property will revert to the grantor when the life estate ends -
ANS-Estate in reversion
All partial or fractional interests in real estate are created from the - ANS-fee simple
estate
When an appraiser is asked to evaluate an appraisal prepared by someone else the
assignment is referred to as? - ANS-appraisal review
The minimum qualifying credit score to qualify for a loan is estimated to be? - ANS-620
Eminent domain is the government power to - ANS-take private property for public use
A temporary tax levied only on certain properties in order to cover the cost of public
improvements that benefit those properties is called? - ANS-Special Assessment
__________________ Arises if the tenant remains in possession of the property without
consent of the landlord. - ANS-Tenancy at sufferance
In _______________ the first nationally recognized standards for appraisal practice
were published by the Appraisal Division of NAtional Association of Real Estate Boards.
- ANS-1929
The Colorado State Board of Appraisers requires a person who wants to be a Certified
Residential appraiser to have a College degree and complete _____________hours of
appraisal education and complete ______________ hours of training. - ANS-200, 1,500
hours
The right to use an easement for access is a/an ____________ that goes along with
ownership of the property. - ANS-appurtenant right
An example of a social force that could affect real estate values is: - ANS-Population
shifts
, Forces that influence the availability and cost of capital and the purchasing power of
buyers which affect value in the market is/are called? - ANS-economic forces
______________________ is set by each state taxing authority fir the purpose if
assessing ad valorem property taxes. - ANS-assessed value
Which type of value is a variation on market value, used for situations when the owner
of a property must sell quickly? - ANS-Liquidation value
An overreaction or overcorrection by the market brought on by the lure of excess profit
is called? - ANS-principle of competition
Highest and Best Use - ANS-Physically Possible, Financially Feasible, & Legally
Permissible
________________ are a series of rules that describes how value is created in he real
estate market - ANS-principle of value
The concept of market value assumes that - ANS-Neither buyer nor seller is acting
under duress
The type of value that is estimated in most real estate appraisals is: - ANS-market value
The principle of conformity states that property values are enhanced when: - ANS-the
uses of surrounding properties conform to the use of the property being appraised
The most common obstacle to a potential use for a particular property is: - ANS-zoning
laws
______________ is the value used when lender is deciding whether to foreclose on
delinquent loan. - ANS-Liquidation
Surplus productivity is attributed to: - ANS-land
The process used when an appraiser values both a house and its lot for residential use
even though the lot would be worth more if used for commercial purposes is called?. -
ANS-Consistent use
A large, luxurious home is located in a neighborhood of small, inexpensive properties.
The home is worth less than it would be in a neighborhood of similarly upscale
properties. This is known as: - ANS-regression
The principle of Highest and Best Use holds that - ANS-The market views the value of
the property in light of all possible legal uses
