EnvironmentalIntermediateNorth Carolina Exam

A NC coastal property in an SFHA (Special Flood Hazard Area) that was substantially damaged (damage exceeding 50% of market value) must be rebuilt:

AIn the same location without modification, though the exact requirements can vary somewhat by jurisdiction

BIn compliance with current NFIP and local floodplain management standards, including elevation above BFECorrect

CAt the county's direction only

DOnly if the owner has flood insurance

Why In compliance with current NFIP and local floodplain management standards, including elevation above BFE Is Correct

Answer B: In compliance with current NFIP and local floodplain management standards, including elevation above BFE

The 'substantial damage/improvement' rule under NFIP requires substantially damaged structures in SFHAs to be rebuilt to current floodplain standards — elevated above the base flood elevation and meeting other requirements.

Exam Tip: Environmental

Environmental questions test knowledge of hazards like asbestos, lead-based paint, radon, and mold. Know the disclosure requirements and when a professional inspection is required. CERCLA liability is strict, joint, and several.

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Listing Agreement

A contract between a property owner and a real estate broker that authorizes the broker to market and sell the property.

Appraisal

A professional estimate of a property's market value prepared by a licensed or certified appraiser.

Comparable Sales (Comps)

Recently sold properties similar in size, condition, and location used by appraisers and agents to estimate a property's market value.

Depreciation

A reduction in the value of an improvement (building) over time due to physical deterioration, functional obsolescence, or external factors.

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