Depreciation
Normal wear and tear is defined as
What is physical deterioration
the approach used to determine value of an apartment building
What is the income capitalization approach
The most profitable use of a property
What is highest and best use
NJ requires that appraisals be performed as part of a federally related transaction be performed by
What is a state-licensed or state certified appraiser
Income over rate equals
What is value
A five bedroom, 1 bath home could be described as
What is functional obsolescence
the approach to value most appropriate for residential resale homes would be
What is the sales comparison or market data approach
the maximum value of a property tends to be set by the cost of an equally desirable property
What is substitution
Both licensed and certified residential appraisers must pass examinations and may conduct appraisal of no more than
What is $1,000,000
Income over value equals
What is Rate
Economic or locational obsolescence caused by factors not on the subject property is also called
What is External Obsolescence
The approach to value most commonly used in evaluating special purpose buildings, like libraries, schools, etc
What is the cost approach
Value of a property increases if the supply of such property
What is decreases (supply and demand)
what is the cap for certified general appraisers
What is there is no cap.
GRM
What is gross rent multiplier. Sales price over Rental Income
As a general rule, does land depreciate?
No
the cost approach to value using current materials and current methods
what is the replacement approach
Less expensive neighboring houses hold the value of a better property down, a higher valued home increases the value of a lesser home according to the concept of
Regression and Progression
MAI
What is Member of the Appraisal Institute
The art of analyzing and effectively weighing the findings from different approaches to value is called
What is Reconciliation
The loss in value due to any cause or condition that adversely affects value
What is depreciation
to restore a historic building to its original character an appraiser would use which approach to value under the cost approach
The reproduction approach- traditional methods original materials
The value of any component of a property is not what it costs but what its addition contributes to the value of the whole
What is contribution
SRA
What is Senior Residential Appraiser
When taking property through Eminent domain the property owner must be paid. This is called
What is Just Compensation