Property Valuation
A comparable sale that closed 12 months ago in a rising market would require which type of adjustment?
AA negative time adjustment to reduce the comparable's value
BA positive time adjustment to account for market appreciation✓ Correct
CNo adjustment since time of sale is irrelevant
DAn adjustment only if prices rose more than 10%
Explanation
In a rising market, older comparable sales need a positive (upward) time adjustment to bring them to current market conditions. The appraiser adds value to the comparable to reflect appreciation since the time of that sale.
Related Idaho Property Valuation Questions
- Which of the following would increase a property's value using the cost approach?
- What is the purpose of 'paired sales analysis' in the sales comparison approach to appraisal?
- What is the 'cost approach' to property valuation and when is it most useful?
- What is a 'market rent study' and when is it needed in Idaho?
- What is a 'retrospective appraisal' and when is it used in Idaho?
- A 'matched pair' analysis in appraisal is used to:
- What is the purpose of a 'drive-by' or 'exterior-only' appraisal in Idaho?
- In Idaho, which government body certifies and licenses real estate appraisers?
Practice More Idaho Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Idaho Quiz →