Property Valuation
The principle of conformity in real estate valuation holds that:
AAll properties in a neighborhood must be the same size
BA property achieves maximum value when it is similar in use and type to surrounding properties✓ Correct
CZoning must be uniform throughout a municipality
DAppraisers must use the same valuation method for all properties
Explanation
The principle of conformity states that a property achieves maximum value when it is compatible with its surroundings. An overly large or small home in a neighborhood of similar homes may suffer from regression (too large) or progression (too small) in value.
Related New Hampshire Property Valuation Questions
- The principle of conformity in real estate appraisal holds that:
- When a real estate agent prepares a comparative market analysis (CMA), the agent is providing:
- When using the sales comparison approach, an appraiser makes adjustments to comparable sales. If a comparable has an extra full bathroom that the subject property lacks, the appraiser will:
- Which of the following would be classified as functional obsolescence in a property appraisal?
- In New Hampshire, the town's assessed value vs. market value discrepancy is measured by the:
- When appraising a New Hampshire property, the appraiser must consider whether the property's current use is the highest and best use. If not, the appraiser must:
- Which valuation approach is MOST appropriate for appraising a single-family owner-occupied home?
- The income capitalization approach divides net operating income by the capitalization rate to arrive at:
Practice More New Hampshire Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free New Hampshire Quiz →