Property Valuation
Which appraisal principle holds that when a property has too many improvements for the neighborhood, its value is limited by the market?
APrinciple of contribution
BPrinciple of conformity
CPrinciple of regression✓ Correct
DPrinciple of increasing returns
Explanation
The principle of regression holds that a higher-value property in a neighborhood of lower-value properties will have its value dragged downward by the surrounding inferior properties.
Related Georgia Property Valuation Questions
- When a comparable sale sold for more than the subject property, the appraiser makes a:
- A 'recapture rate' in the income approach accounts for:
- When multiple appraisal approaches give different value indications, the final value conclusion involves:
- The principle of progression states that a property's value is:
- An appraisal conducted for a federally related transaction must be performed by a:
- An appraiser uses the 'Marshall Valuation Service' (or similar cost data service) to estimate:
- The gross income multiplier (GIM) for annual rents is calculated as:
- In Georgia, the basis for the state's property tax assessment is typically:
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