Property Valuation
A Minnesota appraiser adjusts a comparable sale for time. The comparable sold 8 months ago and the market has been appreciating at 0.5% per month. What is the time adjustment for a $300,000 comparable?
A$10,000
B$12,000✓ Correct
C$15,000
D$9,000
Explanation
Time adjustment = $300,000 x (0.5% x 8 months) = $300,000 x 4% = $12,000. In an appreciating Minnesota market, older comparable sales must be adjusted upward to reflect current values. Time adjustments are based on demonstrated market appreciation rates from paired sale analysis.
Related Minnesota Property Valuation Questions
- In Minnesota appraisal practice, 'paired sales analysis' is used to determine the market value of:
- In Minnesota, the 'income approach' for a small residential rental property (1-4 units) typically uses the:
- Assessed value for Minnesota property taxes is typically:
- The principle of progression holds that:
- In Minnesota, an appraisal report that meets USPAP requirements for mortgage lending purposes is typically presented as a(n):
- In Minnesota, an appraisal performed for mortgage lending purposes on a federally related transaction must be completed by:
- In the sales comparison approach, if a comparable sale has a finished basement and the subject does not, the appraiser should:
- Appraisers in Minnesota use 'paired sales analysis' to:
Practice More Minnesota Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Minnesota Quiz →