Property Valuation
A Comparative Market Analysis (CMA) is prepared by a real estate agent primarily to help a seller determine:
AThe assessed value for tax purposes
BA recommended listing price based on comparable sales✓ Correct
CThe replacement cost of the improvements
DThe income potential of the property
Explanation
A CMA uses recent sales, active listings, and expired listings of comparable properties to help the seller set a realistic listing price. It is not an appraisal.
Related Georgia Property Valuation Questions
- In an appraisal, 'functional obsolescence' refers to:
- A Georgia property has an annual NOI of $54,000 and a capitalization rate of 6%. What is the estimated value?
- A Georgia commercial property has potential gross income of $120,000, vacancy and credit loss of 8%, and operating expenses of $40,000. Using the income approach with a cap rate of 9%, what is the estimated value?
- An appraisal is an opinion of value. In Georgia, residential appraisals for federally related transactions must be performed by:
- In the cost approach, the formula for estimating value is:
- When appraising a property, which approach to value considers the land value separately from the improvements?
- Effective age of a building refers to:
- Physical deterioration in the cost approach is divided into:
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