Lesson 1 Flashcards
1
Q
Four forces affecting valuation
A
Physical, economic, government/legal, social
2
Q
Real Estate
A
Physical assets, like land and buildings
3
Q
Real Property
A
Legal rights attached to the land. Cannot be touched, but can be appraised and sold
4
Q
Characteristics of Improved Land
A
Immobility, durability of improvements, indivisibility of services, divisibility of ownership
5
Q
Factors of Value
A
Utility, scarcity (supply), desire, effective purchasing power (demand)
6
Q
CUSPAP Definition of Market Value
A
The most probable price which a property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller each acting prudently and knowledgeably, and assuming the price is not affected by undue stimulus
