Property Valuation

When an appraiser in NJ analyzes a neighborhood for a residential appraisal, they must NOT consider which of the following factors?

AProximity to employment centers
BThe racial or ethnic composition of the neighborhood✓ Correct
CSchool district quality
DDistance to shopping and services

Explanation

Under USPAP and federal fair housing law, appraisers must not consider the racial or ethnic composition of a neighborhood in their analysis. Doing so constitutes appraisal bias and discriminatory practices in violation of law.

Related New Jersey Property Valuation Questions

Practice More New Jersey Real Estate Questions

1,500+ questions covering all exam topics. Start free — no signup required.

Take the Free New Jersey Quiz →