Property Valuation
Which of the following property types would an appraiser MOST likely value using only the income approach?
AA single-family home
BA vacant lot in a residential subdivision
CA large regional shopping center✓ Correct
DA church
Explanation
Large income-producing commercial properties like regional shopping centers are most appropriately valued primarily using the income approach, since they are purchased based on their income-generating potential. Sophisticated investors base their decisions on capitalized income streams.
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