TEST DECK Flashcards
Chapter 5: Value and Financing
Define what an appraisal is:
An appraisal is an official valuation of a property’s value.
Chapter 5: Value and Financing
A few characteristics of an appraisal are that it:
-Is an impartial, qualified appraiser’s opinion of value
-Applies to a specific property as of a specific date
-Is supported by relevant market information
01 Chapter 5: Value and Financing
Explain the purpose of appraisals in real estate transactions:
An appraisal is a very educated and data-driven approach to finding the market value of a property.
01 Chapter 5: Value and Financing
Key Term: Appraiser
An individual who is trained and licensed to perform appraisals, which estimate the value of real property.
01 Chapter 5: Value and Financing
Identify who can perform appraisals:
Appraiser and Licensee
01 Chapter 5: Value and Financing
Identify who can perform appraisals:
Appraiser vs. Licensee
-Appraiser: In Florida, a state-licensed, certified, and registered appraiser is the only one who can do an appraisal for federally related transactions.
-Licensee: A real estate licensee may perform an appraisal and receive compensation
for doing so in all other, non-federal transactions.
Chapter 5: Value and Financing
Describe a comparative market analysis (CMA):
Chapter 5: Value and Financing
What is the purpose of a CMA?
Chapter 5: Value and Financing
What is the purpose of a broker’s opinion of value (BOV)
Chapter 5: Value and Financing
Key Term: Uniform Standards of Professional Appraisal Practice (USPAP)
Uniform Standards of Professional Appraisal Practice (USPAP) is an agency charged with overseeing, regulating, and promulgating real estate appraisals
and appraisal practices (Uniform Standards of Professional Appraisal Practice)
Chapter 5: Value and Financing
Chapter 5: Value and Financing
Chapter 5: Value and Financing
