Property Valuation
Which appraisal approach is most commonly used for valuing single-family homes in Providence and Newport, Rhode Island?
AIncome capitalization approach
BCost approach
CSales comparison approach✓ Correct
DGross rent multiplier approach
Explanation
The sales comparison approach is most commonly used for valuing single-family residential properties in Rhode Island markets such as Providence and Newport, as there are typically sufficient comparable sales available.
Related Rhode Island Property Valuation Questions
- An appraiser in Providence uses three comparable sales. The first indicates $400,000, the second $410,000, and the third $390,000. The appraiser gives the most weight to the best comparable. If the third comp is most similar to the subject, what final value might the appraiser conclude?
- A Rhode Island buyer pays $50,000 more for a property than any comparable sales support. This is an example of:
- Which of the following is considered external (economic) obsolescence affecting property value?
- The 'arm's length transaction' assumption in appraisal means that:
- A Rhode Island assessor revalues all properties in the city every five years. This process is called:
- An appraisal done for a lender's mortgage underwriting purposes is typically ordered by:
- The 'plottage' value increase occurs when:
- A Rhode Island appraiser identifies a property's 'effective date' of appraisal. This refers to:
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