Mastering Real Estate Principles ch 18

Question 1

A Principle of value used to in appraisal. The value of property may increase or decrease based on some future event that is expected to occur

Answer 1

Anticipation

Question 2

The process of estimating an supporting an opinion of value.

Answer 2

Appraisal

Question 3

A private non profit group that establishes uniform appraisal standards.

Answer 3

Appraisal Foundation

Question 4

A Board of the appraisal foundation. Sets minimum criteria for state certified appraisers and endorses uniform examinations for certificates.

Answer 4

Appraisal Qualification Board

Question 5

The process of merging adjoining lots together. It is used to take advantage of the principle of value called plottage. Doesn’t have to be owned by different owners

Answer 5

Assemblage

Question 6

A principle of value used in appraisal. State that real estate conditions, both physical and economic, do not remain constant, thus affecting the value of real estate

Answer 6

Change

Question 7

A principle of value used in appraisal. States that if substantial profits are being made competition will be attract. The increased competition may reduce profit and property value.

Answer 7

Competition