Real Estate Appraisal Exam 1 with correct answers
Appraisal - CORRECT ANSWERS ✔✔is an opinion of value
Value - CORRECT ANSWERS ✔✔the worth, usefulness, or utility of an object to
someone for some purpose
Market Value - CORRECT ANSWERS ✔✔most probable selling price of a property
in a competitive and open market
Informal Appraisal - CORRECT ANSWERS ✔✔best described as the "market
analysis" made by brokers and salespeople when listing or selling a given property
Formal Appraisals - CORRECT ANSWERS ✔✔a means of reaching an opinion of
value by the methodical collection and analysis of relevant market data most often
reported in writing
Market Transactions - CORRECT ANSWERS ✔✔Purchase, sale or exchange;
financing; leasing; management; insurance coverage; remodeling and development;
feasibility and highest and best use studies; and exercise of purchase and lease
options.
Legal Transactions - CORRECT ANSWERS ✔✔Eminent domain - condemnor and
condemnee; Property tax assessment and tax appeals case; estate, inheritance, and
gift taxes; income tax casualty loss, deprecation basis and capital gains reporting;
personal and corporate legal actions; environmental impact reports; fire or title
insurance claims; marital and partnership dissolutions; landlord-tenant and property
, damage lawsuits; loan foreclosures; company liquidation or merger; bankruptcy;
security for bail bonds.
USPAP - CORRECT ANSWERS ✔✔Uniform Standards of Professional Appraisal
Practice
Uniform Standards of Professional Appraisal Practice - CORRECT ANSWERS
✔✔places ethical obligations on the appraiser and minimum appraisal standards that
must be adhered to by all professional appraisers.
4 Ethics Rules of USPAP: Conduct - CORRECT ANSWERS ✔✔impartiality,
objectivity, and independence
4 Ethics Rules of USPAP: Management - CORRECT ANSWERS ✔✔no undisclosed
fees, no contingent values
4 Ethics Rules of USPAP: Confidentiality - CORRECT ANSWERS ✔✔report only to:
client and authorized users, state licensing agencies and third parties authorized by
law, a duly authorized professional peer review committee
4 Ethics Rules of USPAP: Record Keeping - CORRECT ANSWERS ✔✔keep work file
for 5 years, keep work file for 2 years after final disposition of any judicial proceeding
where testimony was given.
Competency Rule - CORRECT ANSWERS ✔✔need to be competent to appraise the
property by the time you complete the appraisal report
Appraisal - CORRECT ANSWERS ✔✔is an opinion of value
Value - CORRECT ANSWERS ✔✔the worth, usefulness, or utility of an object to
someone for some purpose
Market Value - CORRECT ANSWERS ✔✔most probable selling price of a property
in a competitive and open market
Informal Appraisal - CORRECT ANSWERS ✔✔best described as the "market
analysis" made by brokers and salespeople when listing or selling a given property
Formal Appraisals - CORRECT ANSWERS ✔✔a means of reaching an opinion of
value by the methodical collection and analysis of relevant market data most often
reported in writing
Market Transactions - CORRECT ANSWERS ✔✔Purchase, sale or exchange;
financing; leasing; management; insurance coverage; remodeling and development;
feasibility and highest and best use studies; and exercise of purchase and lease
options.
Legal Transactions - CORRECT ANSWERS ✔✔Eminent domain - condemnor and
condemnee; Property tax assessment and tax appeals case; estate, inheritance, and
gift taxes; income tax casualty loss, deprecation basis and capital gains reporting;
personal and corporate legal actions; environmental impact reports; fire or title
insurance claims; marital and partnership dissolutions; landlord-tenant and property
, damage lawsuits; loan foreclosures; company liquidation or merger; bankruptcy;
security for bail bonds.
USPAP - CORRECT ANSWERS ✔✔Uniform Standards of Professional Appraisal
Practice
Uniform Standards of Professional Appraisal Practice - CORRECT ANSWERS
✔✔places ethical obligations on the appraiser and minimum appraisal standards that
must be adhered to by all professional appraisers.
4 Ethics Rules of USPAP: Conduct - CORRECT ANSWERS ✔✔impartiality,
objectivity, and independence
4 Ethics Rules of USPAP: Management - CORRECT ANSWERS ✔✔no undisclosed
fees, no contingent values
4 Ethics Rules of USPAP: Confidentiality - CORRECT ANSWERS ✔✔report only to:
client and authorized users, state licensing agencies and third parties authorized by
law, a duly authorized professional peer review committee
4 Ethics Rules of USPAP: Record Keeping - CORRECT ANSWERS ✔✔keep work file
for 5 years, keep work file for 2 years after final disposition of any judicial proceeding
where testimony was given.
Competency Rule - CORRECT ANSWERS ✔✔need to be competent to appraise the
property by the time you complete the appraisal report
