(16) Real Estate Appraisal Flashcards
1
Q
A new airport built in proximity to a residential neighborhood may cause properties to lose value due to
A
External obsolescence
2
Q
If income remains constant and the capitalization rate is reduced, what is the effect on value
A
The value increases
3
Q
What estimate is a result of income divided by a capitalization rate
A
Market value
4
Q
Which appraisal approach is most suitable for estimating the value of a single family property
A
Sales comparison
5
Q
Functional obsolescence includes
A
An over improvement
6
Q
How is a gross rent multiplier calculated
A
Divide comparable property sales price by comparable property rent
7
Q
What type of value does an appraiser most commonly estimate
A
Market
8
Q
External obsolescence is _____
A
Usually verbal
