Property Valuation
In South Dakota, a property's value is said to increase due to the principle of anticipation when:
AComparable sales are rising rapidly in the area
BBuyers pay a premium based on expected future benefits from the property✓ Correct
CThe property is adjacent to new commercial development
DThe appraiser applies a positive market conditions adjustment
Explanation
The principle of anticipation states that value is created by the expectation of future benefits (income, appreciation, enjoyment). Buyers may pay more if they anticipate future gains.
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