Property Valuation
In Maine, an 'arm's length transaction' is one where:
AThe buyer and seller are not related and each acts in their own interest✓ Correct
BThe distance between buyer and seller's homes is at least an arm's length
CThe deal is completed within 30 days
DThe buyer and seller have a prior business relationship
Explanation
An arm's length transaction occurs when buyer and seller are unrelated parties acting independently and in their own self-interests, without pressure or special relationships affecting the price. Appraisers and assessors look for arm's length transactions for comparable sales.
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