Property Valuation
Contribution in real estate appraisal refers to:
AThe amount a seller contributes to buyer closing costs
BThe value a specific component or improvement adds to the overall property value✓ Correct
CThe portion of the appraiser's fee paid by each party
DTax contributions to local schools
Explanation
The principle of contribution states that the value of a component is measured by how much it adds to the whole. An improvement (e.g., a third bathroom) contributes its value based on what it adds to market value, not necessarily what it cost to build.
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