Property Valuation
The income capitalization approach to value is most commonly applied to:
ASingle-family owner-occupied homes
BIncome-producing commercial and investment properties✓ Correct
CVacant land only
DHistoric properties with special characteristics
Explanation
The income capitalization approach converts the property's income stream into an indication of value. It is most commonly used for income-producing properties such as apartment buildings, office buildings, retail centers, and other commercial real estate.
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