Physical & Economic Characteristics Of Land

Question 1

Name the 3 physical characteristics of Land

Answer 1

Immobility, Indestructibility, Nonhomogeneic

Question 2

Immobility

Answer 2

Land is physically immobile, the value is directly affected by its surroundings, things external to itself

Question 3

Indestructibility

Answer 3

Land can’t be destroyed, but it’s value can be by changing conditions

Question 4

Nonhomogeneic

Answer 4

Bottom line is every property is unique

Question 5

Scarcity

Answer 5

Limited supply in land, certain land with desirable location and of a certain land quality is presently scarce and other types will become so in the future

Question 6

Area Preference

Answer 6

Real estate situs is an economic term that refers to the economic quality of a parcel of real estate

1. Certain locations are more preferable than others
2. Real estate is immobile

Question 7

Permanence of Improvements

Answer 7

Permanence of Improvements, combined with the immobility of the underlying land, makes the real estate market less flexible than other market

Question 8

Production

Answer 8

Refers to the development of land and the construction of Improvements

Question 9

Assemblage

Answer 9

Refers to the concept of combining two or more contiguous parcels of real estate into a single parcel under one ownership