Property Valuation

In Vermont appraisal, the cost approach is MOST reliable for valuing:

AOlder residential homes in established neighborhoods
BNew or nearly new special-purpose properties with few comparable sales✓ Correct
CIncome-producing apartment buildings
DVacant land parcels

Explanation

The cost approach — which estimates land value plus the depreciated replacement cost of improvements — is most reliable for new construction and special-purpose properties (schools, churches, fire stations) where comparable sales and income data are limited.

Related Vermont Property Valuation Questions

Practice More Vermont Real Estate Questions

1,500+ questions covering all exam topics. Start free — no signup required.

Take the Free Vermont Quiz →