Fundamental of Real Property Appraisal - Quiz #1 Flashcards
The basic responsibility of the assessor are to _______all taxable property.
list, value, discover
One of the steps an assessor must take in the discovery of property is to
conduct periodic on-site inspections of properties
The property tax is a/an _______tax, meaning it is based on value.
ad valorem
Assume the following characteristics for a single-family residence:
Actual value = $175,000; assessment level = 20 percent; tax rate = 92.8 mills.
Calculate the property tax for the residence.
Actual value $175,000 Assessment level .20 Assessed value $35,000 Tax Rate .0928 Taxes $3,248
If a tax rate is $13.30 per $100, the decimal equivalent would be
0.1330
_____________ divided by the assessed value equals the tax rate.
budget
Assessment level times the tax rate equals the
effective tax rate
Given the following, compute a tax rate using dollars per hundred:
Budget $6,000,000
Market Value $800,000,000
Assessment Level 50%
Non-property tax revenue $1,000,000
Market Value $800,000,000
Assessment Level .50
Assessed value $400,000,000
Budget $6,000,000
Non-property tax revenue $1,000,000
Budget to be paid by property taxes $5,000,000
Tax rate: 5,000,000/400,000,000 0.0125
ANSWER = $1.25
______________ is the physical land and everything permanently attached to it.
Real estate
Which of the following is a governmental restriction to the “bundle of rights”?
eminent domain
Which of the following is a basic right associated with the ownership of property?
to use, to lease or rent , to enter or leave
In order for a property to have value, it must have utility, scarcity, desirability and effective purchasing power. The economic forces that determine scarcity are
supply and demand
_____________ is the point at which the forces of supply and demand meet - the point of balance
Equilibrium
A/an ___________ interest is ownership of all the rights in a property, except those reserved by the government, and with no private encumbrances.
fee simple
In the appraisal process, data collection requires the assessor to collect
general data, specific data, comparative data
Which of the following is not one of the four great forces by which value is created, maintained, modified, or destroyed?
conceptual
A _____________ may be defined as an area of complementary land uses in which all properties are similarly influenced b the four forces affecting value.
neighborhood
What element of the marketplace is likely to contribute to a change in demand?
consumer expectations
what element of the marketplace is likely to contribute to a change in supply?
entrepreneur expectation
What elements of the marketplace is likely to contribute to a change in supply?
entrepreneur expectation
A township in the Public Land Survey contains ______sections, with each section containing _______acres.
36-640
The NE1/4NW1/4SE1/4SW1/4 contains _________acres
2.5
A land description system in which boundaries are described as distances between two semi permanent points or as lines following compass bearing is known as
metes and bounds description
The principle that states that market value of a property tends to be set by the cost of acquiring an equally desirable and valuable substitute property is
substitution
