Property Valuation
Depreciation in real estate appraisal refers to:
AA tax deduction taken annually by investors
BA loss in value from any cause✓ Correct
CThe annual increase in mortgage balance
DThe appreciation rate of the property
Explanation
Appraisal depreciation is a loss in value from any cause — physical deterioration, functional obsolescence, or external/economic obsolescence — not just age.
Related Kansas Property Valuation Questions
- The economic principle of 'supply and demand' in Kansas real estate means that:
- What is a comparative market analysis (CMA) in Kansas real estate?
- The sales comparison approach to value is most appropriate for:
- A Kansas property has a net operating income of $30,000. Using a 6% cap rate, what is the estimated value?
- A Kansas 'drive-time analysis' in commercial real estate valuation is used to:
- The principle of regression in Kansas real estate states that:
- A Kansas property's 'income multiplier' approach using an annual gross income of $24,000 and a GIM of 10 yields an estimated value of:
- A Kansas appraiser identifies a comparable sale at $220,000. Compared to the subject, the comparable lacks a two-car garage worth $12,000. The adjusted value of the comparable is:
Practice More Kansas Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Kansas Quiz →