Property Valuation
Market value is best defined as:
AThe price a seller asks for the property
BThe most probable price a property would sell for in an arm's-length transaction with informed and willing parties✓ Correct
CThe value determined by the county assessor
DThe replacement cost of the property's improvements
Explanation
Market value is the most probable price a property would sell for in an open, competitive market with both buyer and seller being knowledgeable, acting in their own interests, and with neither under duress.
Related Nebraska Property Valuation Questions
- External obsolescence (economic obsolescence) in an appraisal is caused by:
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- Depreciation in the cost approach to appraisal is divided into three categories. Which of the following is an example of 'physical deterioration'?
- A Nebraska appraiser is asked to determine a property's 'insurable value' for insurance purposes. This is closest to which appraisal concept?
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