Property Valuation
When a Rhode Island appraiser reconciles the three approaches to value, the appraiser:
AAverages the three indicated values
BUses only the highest indicated value
CWeighs each approach based on the type of property and quality of data, then forms a final value opinion✓ Correct
DRelies solely on the income approach for all property types
Explanation
Reconciliation is the process of analyzing and weighing the indicated values from each approach based on the reliability of data and suitability of the approach to the property type, arriving at a final value opinion.
Related Rhode Island Property Valuation Questions
- Newport, Rhode Island's historic 'Gilded Age' mansions are unique properties. What appraisal challenge do these present?
- What is 'discounted cash flow analysis' in Rhode Island commercial real estate valuation?
- When appraising a historic property in Newport, Rhode Island, an appraiser using the sales comparison approach must ensure that comparable sales are adjusted for:
- What is 'residual value' in Rhode Island real estate appraisal?
- A capitalization rate (cap rate) in Rhode Island real estate investing is used to:
- The concept of 'market value' as used in Rhode Island appraisal refers to:
- An appraiser performing a drive-by appraisal (exterior-only inspection) for a Rhode Island property must note this limitation in the appraisal report as a(n):
- Which principle of value holds that a property surrounded by more valuable properties tends to increase in value?
Practice More Rhode Island Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Rhode Island Quiz →