Certified Residential Appraiser Exam
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1. hypothetical condition a condition, directly related to a specific assignment, which is contrary
to what is KNOWN by the appraiser to exist on the effective date of the
assignment results, but is used for the purpose of analysis.
2. Extraordinary As- something that is BELIEVED to be True for the sake of the Appraisal... but
sumption may or may not be True as of the Effective Date of the Appraisal.
3. Appraisal the act or process of developing an opinion of value
4. Marketing Period Time Period required to actually sell the property once the decision to sell
is made. Time necessary to close a sale.
5. Exposure Time the time period assumed to have occurred prior to the date of the ap-
praisal
6. Attributes of Land unique in location and composition, physical immobile, durable, finite,
and useful
7. Four Powers of Gov- 1. Police Power
ernment 2. Eminent Domain
3. Taxation
4. Escheat
(PETE)
8. Police Power zoning, health codes, building codes, traffic, environmental regulations,
air
9. Eminent Domain the RIGHT of government to take private property for public use
10. Condemnation The PROCESS of exercising eminent domain through court action.
11. Concepts of Land geographic and environmental, legal, economic, social
12. Social, Economic, Governmental, Environmental (SEGE)/
, Certified Residential Appraiser Exam
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Forces that Influence
Real Estate
13. Agents of Production Land, Labor, Capital, Entrepreneurial Coordination (LLCEC)
14. Factors of Value utility, scarcity, desire, effective purchasing power (USDE)
15. Valuation Process 1.Definition of Problem
2. Scope of Work
3. Data Collection and Property Description
4. Data Analysis (HBU and Market Analysis)
5. Land Value Estimate
6. Three Approaches to Value
7. Reconciliation
8. Report
16. Going Concern Value The value of an established business including the value of real property
and goodwill generated through business operations. Includes Real, Per-
sonal, and Intangibles.
17. Investment Value The value of the property to a particular investor, based on his or her
specific requirements, discount rate, expectations, and so on.
18. Substitution when several similar or commensurate things are available the lowest
price will attract the greatest demand and widest distribution.
19. Individual Ownership sole proprietorship
20. General Partnership partnership in which partners share equally in both responsibility and
liability
21. Limited Partnership A partnership consisting of one or more general partners and one or more
(LP) limited partners. General partner is liable and limited partners are to the
extent of their initial investment
, Certified Residential Appraiser Exam
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22. Tenant in Common A form of ownership where two or more people hold title on the same
property. Each person's interest is held in severalty and each person
retains the right to will away their interest.
23. Joint Tenancy The joint ownership of property by two or more co-owners in which each
co-owner owns an undivided portion of the property. On the death of one
of the joint tenants, his or her interest automatically passes to the surviving
joint tenants.
24. Corporation
25. Condominium Owner- A form of ownership for units in a multiple-family complex. Each person
ship owns his or her own unit and shares ownership of common areas such as
hallways and grounds.
26. Tenancy by the Entire- The joint ownership, recognized in some states, of property acquired by
ty husband and wife during marriage. Upon the death of one spouse, the
survivor becomes the owner of the property.
27. Book Value the capital amount at which the property is shown on the account books
of the corporation.
28. Cooperative Owner- Investor resident acquires stock in the corporation owning the facility and
ship receives a permanent lease on one unit of the facility
29. Timesharing Property occupancy arrangement in which multiple individuals have use
of property but, unlike traditional forms of co-ownership, the interests
are at different time intervals rather than simultaneous. A timesharing
arrangement may involve true co-ownership, leasehold interests (fee
timesharing), or simply permission to occupy (i.e., license).
30. Escheat
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1. hypothetical condition a condition, directly related to a specific assignment, which is contrary
to what is KNOWN by the appraiser to exist on the effective date of the
assignment results, but is used for the purpose of analysis.
2. Extraordinary As- something that is BELIEVED to be True for the sake of the Appraisal... but
sumption may or may not be True as of the Effective Date of the Appraisal.
3. Appraisal the act or process of developing an opinion of value
4. Marketing Period Time Period required to actually sell the property once the decision to sell
is made. Time necessary to close a sale.
5. Exposure Time the time period assumed to have occurred prior to the date of the ap-
praisal
6. Attributes of Land unique in location and composition, physical immobile, durable, finite,
and useful
7. Four Powers of Gov- 1. Police Power
ernment 2. Eminent Domain
3. Taxation
4. Escheat
(PETE)
8. Police Power zoning, health codes, building codes, traffic, environmental regulations,
air
9. Eminent Domain the RIGHT of government to take private property for public use
10. Condemnation The PROCESS of exercising eminent domain through court action.
11. Concepts of Land geographic and environmental, legal, economic, social
12. Social, Economic, Governmental, Environmental (SEGE)/
, Certified Residential Appraiser Exam
Study online at https://quizlet.com/_evcvy4
Forces that Influence
Real Estate
13. Agents of Production Land, Labor, Capital, Entrepreneurial Coordination (LLCEC)
14. Factors of Value utility, scarcity, desire, effective purchasing power (USDE)
15. Valuation Process 1.Definition of Problem
2. Scope of Work
3. Data Collection and Property Description
4. Data Analysis (HBU and Market Analysis)
5. Land Value Estimate
6. Three Approaches to Value
7. Reconciliation
8. Report
16. Going Concern Value The value of an established business including the value of real property
and goodwill generated through business operations. Includes Real, Per-
sonal, and Intangibles.
17. Investment Value The value of the property to a particular investor, based on his or her
specific requirements, discount rate, expectations, and so on.
18. Substitution when several similar or commensurate things are available the lowest
price will attract the greatest demand and widest distribution.
19. Individual Ownership sole proprietorship
20. General Partnership partnership in which partners share equally in both responsibility and
liability
21. Limited Partnership A partnership consisting of one or more general partners and one or more
(LP) limited partners. General partner is liable and limited partners are to the
extent of their initial investment
, Certified Residential Appraiser Exam
Study online at https://quizlet.com/_evcvy4
22. Tenant in Common A form of ownership where two or more people hold title on the same
property. Each person's interest is held in severalty and each person
retains the right to will away their interest.
23. Joint Tenancy The joint ownership of property by two or more co-owners in which each
co-owner owns an undivided portion of the property. On the death of one
of the joint tenants, his or her interest automatically passes to the surviving
joint tenants.
24. Corporation
25. Condominium Owner- A form of ownership for units in a multiple-family complex. Each person
ship owns his or her own unit and shares ownership of common areas such as
hallways and grounds.
26. Tenancy by the Entire- The joint ownership, recognized in some states, of property acquired by
ty husband and wife during marriage. Upon the death of one spouse, the
survivor becomes the owner of the property.
27. Book Value the capital amount at which the property is shown on the account books
of the corporation.
28. Cooperative Owner- Investor resident acquires stock in the corporation owning the facility and
ship receives a permanent lease on one unit of the facility
29. Timesharing Property occupancy arrangement in which multiple individuals have use
of property but, unlike traditional forms of co-ownership, the interests
are at different time intervals rather than simultaneous. A timesharing
arrangement may involve true co-ownership, leasehold interests (fee
timesharing), or simply permission to occupy (i.e., license).
30. Escheat
