Property Valuation

Reproduction cost in the cost approach is:

AThe cost to build a similar structure with modern materials and techniques
BThe cost to build an exact replica of the subject structure using the same materials and methods✓ Correct
CThe current market value of all improvements
DThe insurance replacement value

Explanation

Reproduction cost is the cost to build an exact replica using the same materials, design, and construction methods. Replacement cost uses modern materials and equivalent utility. Appraisers typically use replacement cost for most assignments.

Related Oklahoma Property Valuation Questions

Practice More Oklahoma Real Estate Questions

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

Take the Free Oklahoma Quiz →