Property Valuation
What is the 'principle of progression' in real estate appraisal?
AThe principle that property values always progress upward over time
BThe principle that a lower-value property benefits from proximity to higher-value properties — a modest home in an upscale neighborhood may be worth more than the same home in a lower-quality neighborhood✓ Correct
CThe principle requiring appraisers to progressively update their comparables
DA Nevada rule requiring appraisal values to increase annually
Explanation
Progression is the opposite of regression — a lower-value property's value is pulled upward by proximity to higher-value properties. An underimproved (below neighborhood standard) home may be worth more than its quality alone would suggest because the neighborhood uplifts its value. In Nevada, a modest home in a high-quality Summerlin neighborhood may benefit from progression — it is worth more than the same structure in a lower-quality area. Progression and regression both reflect the appraisal principle of conformity.
Related Nevada Property Valuation Questions
- An appraisal adjustment of -$5,000 for a comparable sale means the comparable property:
- A Nevada appraiser adjusts a comparable sale upward by $15,000 for the subject property's superior view of the Las Vegas Strip. What does this adjustment indicate?
- The principle of substitution in Nevada real estate appraisal states that:
- A competitive market analysis (CMA) differs from a formal appraisal in Nevada because a CMA:
- What is a retaliatory eviction and can it affect property management in Nevada?
- What is 'value in use' versus 'value in exchange' in Nevada real estate?
- What is the principle of contribution in Nevada real estate appraisal?
- When would a Nevada appraiser most likely use the cost approach as the primary valuation method?
Practice More Nevada Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Nevada Quiz →