If the site represents 40% of the total value in a particular neighborhood, how much land
value would be allocated from a $200,000 sale of a single family home?
️: $80,000.00
In the subject property's neighborhood, improved properties are selling for prices in a range
of $140,000 to $160,00...
If the site represents 40% of the total value in a particular neighborhood, how much land
value would be allocated from a $200,000 sale of a single family home?
✔️: $80,000.00
In the subject property's neighborhood, improved properties are selling for prices in a range
of $140,000 to $160,000. Research reveals a typical land value-to-total property value ratio of
20%. What is the range of value for a similar site in this neighborhood?
✔️: $28,000 to $32,000
Land can be valued by
✔️: Sales comparison, land residual, allocation, and extraction
Land is always valued considering
✔️: Its highest and best use as though vacant.
Price per front foot is
,✔️: a physical unit of comparison
Residential sites are often valued using
✔️: A price per square foot
The subdivision development analysis technique is
✔️: Is very applicable when the main criteria of value is the number of lots that can be
developed out of a parcel of land
To estimate its market value, the land under an improved property is best compared to sales
of vacant land that
✔️: Have the same or similar highest and best use
You are asked to appraise a vacant building lot. The neighborhood is about 75% built up.
Most lots in the area are from 55 to 65 feet wide; the lot under appraisal is 60 feet.
Comparable sales indicate that lots are selling at $120 to $150 per front foot. What is a good
estimate of the price range for this lot?
✔️: $7,200 to $9,000
,The land valuation technique that relies on an analysis of ratios of land value to property
value is
✔️: Allocation
Which approach would be best to use when appraising a 15-20 year old house?
✔️: Sales comparison
An open market transaction would not be one:
✔️: Sold to a relative
Comparable sales that require no adjustment to the subject are usually sales:
✔️: In new developments with nearly identical properties
The principle of _____________ states that a buyer will not pay more for a site than for
another equally desirable one:
✔️: Substitution
For a property to be considered as a comparable:
✔️: It must be a competitive property
, It must be an open market transaction
Physical units of comparison are a substitute for adjusting for:
✔️: Size
Property sale prices
✔️: Are negotiated between buyers and sellers
Current listings that have been exposed to the market for a reasonable time
✔️: Tell the appraiser what the subject's market value cannot exceed
Units of comparison
✔️: Are items that represent a breakdown of the price based on a significant variable
Which approach is usually the most applicable for appraising residences?
✔️: Sales Comparison.
Qualitative analysis is based on
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller TestTrackers. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $16.09. You're not tied to anything after your purchase.
