Property Valuation

Which appraisal principle states that the value of a property is affected by the values of surrounding properties?

APrinciple of substitution
BPrinciple of conformity✓ Correct
CPrinciple of anticipation
DPrinciple of contribution

Explanation

The principle of conformity states that maximum value is achieved when properties in an area are similar in type, style, and use, and that a property's value is affected by surrounding properties. Properties that conform to neighborhood standards typically achieve higher values.

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