Property Valuation
Which Minnesota property would MOST likely use the income approach as the primary appraisal method?
AA rural single-family home
BA newly constructed custom home
CA 12-unit apartment complex✓ Correct
DA vacant residential lot
Explanation
The income approach is most appropriate for income-producing properties like apartment complexes. It values the property based on its ability to generate income. Single-family homes are primarily valued using the sales comparison approach; vacant lots often use the sales comparison approach; new construction often uses the cost approach.
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