Property Valuation
The principle of progression holds that:
AA more valuable property's value decreases when surrounded by less valuable properties
BA lesser-valued property benefits from being located among higher-valued properties✓ Correct
CProperty values always increase over time
DImprovements always add value proportional to their cost
Explanation
The principle of progression states that a lower-valued property's value tends to increase when it is surrounded by higher-valued properties — the opposite of the principle of regression.
Related Montana Property Valuation Questions
- The sales comparison approach to value is MOST appropriate for appraising:
- A Montana property's assessed value for property tax purposes is determined by the:
- When an appraiser in Billings, Montana observes that comparable sales in the area have been selling faster than 6 months ago, this indicates:
- Highest and best use in appraisal is defined as the use that is:
- The principle of substitution in real estate appraisal holds that:
- Depreciation in real estate appraisal refers to:
- In Montana, an appraiser's use of 'paired sales analysis' in the sales comparison approach involves:
- A property has an effective gross income of $95,000 and operating expenses of $38,000. What is the NOI?
Practice More Montana Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Montana Quiz →