Property Valuation
The highest and best use of a property is defined as the use that is:
AThe most profitable regardless of legal considerations
BLegally permissible, physically possible, financially feasible, and maximally productive✓ Correct
CDesignated by current zoning
DCurrently in place on the property
Explanation
Highest and best use is the reasonably probable use of a property that is legally permissible, physically possible, financially feasible, and results in the highest value. It is a fundamental concept in appraisal.
Related Tennessee Property Valuation Questions
- When a commercial property is sold for investment, the buyer is most interested in the:
- In the sales comparison approach, an appraiser makes a negative adjustment to a comparable sale when:
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