Certified Residential Appraisal Test 2025
1 mile = ____ feet - ANSWER-5,280 feet
3 Common Approaches to Value - ANSWER-Sales, Cost, Income
3 Components of Depreciation - ANSWER-physical, functional, external
4 agents of production - ANSWER-Land, Labor, Capital, Entrepreneurial Coordination
4 Elements of Value - ANSWER-(DUST) Demand, Utility, Scarcity, Transferability
4 Government Powers - ANSWER-P.E.T.E: Police power, eminent domain, taxation,
escheat
4 Great (Broad) Forces - ANSWER-Economic, Social, Governmental, Environmental
4 Tests of Highest and Best Use - ANSWER-Legally Allowed, Physically Possible,
Financially Feasible, Maximally Productive
accretion - ANSWER-growth in size or increase in amount ex: water
Accretion - ANSWER-when land is increased because of water depositing additional
soil gradually
Adjustable Rate Mortgage - ANSWER-interest rate is periodically adjusted
Age Life Method of Appreciation - ANSWER-Effective Age/ Economic Life
Alienation Clause - ANSWER-mortgage instrument that may include a clause that would
prevent the assumption of the mortgage by a new purchaser
Alienation Clause - ANSWER-mortgage instrument that may include a clause that would
prevent the assumption of the mortgage by a new purchaser
Alluvion - ANSWER-to wash against shoreline and deposit soil gradually creating firm
ground
Anticipation - ANSWER-a purchase/sale decision based on the perceived future value
appurtenant easement - ANSWER-attached to the land and can be assigned to the
parties of the dominant estate
Assemblage - ANSWER-act of combining 2 or more parcels
, Avulsion - ANSWER-to sudden loss of land or soil due to sudden natural act
(earthquake, river flow)
Avultion - ANSWER-pulling away or tearing (water taking something away/ flood)
Balance - ANSWER-occurs when supply and demand factors are at the point of
"balance"
Bargain and Sale Deed - ANSWER-grantor has the right to convey title, however no
warranties against encumbrances
Blanket Mortgage - ANSWER-more than once piece of property
Buffer Zone - ANSWER-separate strip of land that separates parcels
Capitalization - ANSWER-process by which an income stream is converted into a value
NOI/ Cap rate = Value
Change - ANSWER-constant physical and economic change that influence value
Co-ownership of property - ANSWER-2 or more owners
Coming Clay Roof Tiles - ANSWER-- spanish
- mission
- roman
- English
Comparative Unit Method - ANSWER-cost per square foot of a comparable structure
and multiply it by the number of the square feet of the subject
Sometimes these cost estimates from from published cost manuals
Conditional Use - ANSWER-permit that allows for properties that can be shown to be
essential for the public interest
Conformity - ANSWER-property that is in harmony with the surrounding properties
Contribution - ANSWER-an item is only worth what it contributes in value to the whole
Cost Approach - ANSWER-Estimate of replacement cost of a structure
- depreciation
+ land value
1 mile = ____ feet - ANSWER-5,280 feet
3 Common Approaches to Value - ANSWER-Sales, Cost, Income
3 Components of Depreciation - ANSWER-physical, functional, external
4 agents of production - ANSWER-Land, Labor, Capital, Entrepreneurial Coordination
4 Elements of Value - ANSWER-(DUST) Demand, Utility, Scarcity, Transferability
4 Government Powers - ANSWER-P.E.T.E: Police power, eminent domain, taxation,
escheat
4 Great (Broad) Forces - ANSWER-Economic, Social, Governmental, Environmental
4 Tests of Highest and Best Use - ANSWER-Legally Allowed, Physically Possible,
Financially Feasible, Maximally Productive
accretion - ANSWER-growth in size or increase in amount ex: water
Accretion - ANSWER-when land is increased because of water depositing additional
soil gradually
Adjustable Rate Mortgage - ANSWER-interest rate is periodically adjusted
Age Life Method of Appreciation - ANSWER-Effective Age/ Economic Life
Alienation Clause - ANSWER-mortgage instrument that may include a clause that would
prevent the assumption of the mortgage by a new purchaser
Alienation Clause - ANSWER-mortgage instrument that may include a clause that would
prevent the assumption of the mortgage by a new purchaser
Alluvion - ANSWER-to wash against shoreline and deposit soil gradually creating firm
ground
Anticipation - ANSWER-a purchase/sale decision based on the perceived future value
appurtenant easement - ANSWER-attached to the land and can be assigned to the
parties of the dominant estate
Assemblage - ANSWER-act of combining 2 or more parcels
, Avulsion - ANSWER-to sudden loss of land or soil due to sudden natural act
(earthquake, river flow)
Avultion - ANSWER-pulling away or tearing (water taking something away/ flood)
Balance - ANSWER-occurs when supply and demand factors are at the point of
"balance"
Bargain and Sale Deed - ANSWER-grantor has the right to convey title, however no
warranties against encumbrances
Blanket Mortgage - ANSWER-more than once piece of property
Buffer Zone - ANSWER-separate strip of land that separates parcels
Capitalization - ANSWER-process by which an income stream is converted into a value
NOI/ Cap rate = Value
Change - ANSWER-constant physical and economic change that influence value
Co-ownership of property - ANSWER-2 or more owners
Coming Clay Roof Tiles - ANSWER-- spanish
- mission
- roman
- English
Comparative Unit Method - ANSWER-cost per square foot of a comparable structure
and multiply it by the number of the square feet of the subject
Sometimes these cost estimates from from published cost manuals
Conditional Use - ANSWER-permit that allows for properties that can be shown to be
essential for the public interest
Conformity - ANSWER-property that is in harmony with the surrounding properties
Contribution - ANSWER-an item is only worth what it contributes in value to the whole
Cost Approach - ANSWER-Estimate of replacement cost of a structure
- depreciation
+ land value
