Property Valuation
When using the sales comparison approach, an appraiser finds a comparable sale that is superior to the subject in terms of lot size. The appraiser should:
AAdd a positive adjustment to the comparable's sale price
BSubtract a negative adjustment from the comparable's sale price✓ Correct
CDiscard the comparable and find a better match
DAdjust the subject property's value upward
Explanation
When the comparable is superior (larger lot), the appraiser makes a downward (negative) adjustment to the comparable's price to equalize it with the subject. If the comparable were inferior, an upward (positive) adjustment is made.
Related Nebraska Property Valuation Questions
- The principle of substitution states that:
- The principle of substitution in real estate valuation states that:
- External (economic) obsolescence is a form of depreciation caused by:
- Gross Rent Multiplier (GRM) is calculated as:
- The 'principle of progression' in real estate valuation states that a lower-value property is:
- Capitalization rate (cap rate) is calculated as:
- An appraiser notes that a home has only one bathroom while most comparable homes have two. This would likely be treated as:
- Nebraska's property tax appeal process allows property owners who believe their assessed value is too high to:
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