Property Valuation
A Mississippi appraiser's 'market conditions adjustment' (also called a 'time adjustment') in the sales comparison approach accounts for:
ASeasonal variations in weather that affect property condition
BChanges in market values between the date of comparable sales and the effective date of the appraisal✓ Correct
CThe age of the comparable property
DThe distance between the subject and comparable
Explanation
A market conditions (time) adjustment reflects how market values have changed between when a comparable sold and the effective date of the appraisal. In an appreciating market, older comparable sales are adjusted upward. In a declining market, they are adjusted downward. This ensures comparables reflect current market conditions.
Related Mississippi Property Valuation Questions
- In Mississippi, what is the purpose of the 'reconciliation of value' step in the appraisal process?
- When a Mississippi appraiser notes that a property is in an 'arm's-length transaction,' they mean:
- In the cost approach to appraisal, effective age refers to:
- The principle of substitution states that a buyer will pay no more for a property than the cost of acquiring an equally desirable substitute. This principle underpins the:
- An appraiser uses the income approach to value a commercial building in Biloxi, Mississippi. The appraiser divides the net operating income (NOI) by the capitalization rate to determine:
- A Mississippi commercial property generates $72,000 annual net operating income. If the market cap rate is 9%, what is the estimated value?
- Depreciation in the cost approach refers to:
- Which of the following best defines 'market value' as used in Mississippi real estate appraisal?
Practice More Mississippi Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Mississippi Quiz →