Property Valuation
What is 'regression' as an appraisal principle?
AA statistical method used in mass appraisal
BThe principle that a high-value property is pulled down in value by surrounding lower-value properties✓ Correct
CThe concept that market values always decline over time
DDepreciation caused by age
Explanation
The principle of regression states that a higher-value or 'over-improved' property loses value from proximity to lower-value properties. The higher-value property is 'pulled down' by its neighbors — the opposite of the principle of progression.
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