Property Valuation
The principle of 'conformity' in NC real estate value states that:
AAll properties should be identical in design
BMaximum value is achieved when properties conform to the character of surrounding properties✓ Correct
CBuyers should conform to sellers' asking prices
DAppraisers must conform to government assessed values
Explanation
The principle of conformity holds that property values are maximized when a property's use and character conform to the surrounding neighborhood, as buyers seeking that neighborhood type find it more desirable.
Related North Carolina Property Valuation Questions
- In the cost approach, what term describes the loss in value due to factors outside the property boundaries, such as a nearby industrial plant?
- When a NC appraiser uses a market extraction method to determine a capitalization rate, they analyze:
- The 'absorption rate' in a NC real estate market refers to:
- A NC appraiser who values a property using data from a declining market (falling prices) will need to make a 'time adjustment' that is:
- An NC appraiser analyzing a condominium uses which modification to the sales comparison approach?
- NC appraisers must comply with the Uniform Standards of Professional Appraisal Practice (USPAP). USPAP requires appraisers to provide:
- When appraising a property in the Outer Banks near the NC coast, an appraiser would consider 'functional utility' which includes:
- The 'assemblage' of multiple smaller parcels into one larger parcel may create 'plottage value' because:
Practice More North Carolina Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free North Carolina Quiz →