Property Valuation
A Virginia appraiser performing a new construction appraisal uses plans and specifications provided by the builder. This is called an:
AAs-is appraisal
BAs-proposed (prospective) appraisal✓ Correct
CRetrospective appraisal
DDesk review
Explanation
An as-proposed or prospective appraisal values a property that does not yet exist, based on plans and specifications. Lenders use this for construction loans to determine the loan amount based on the completed value.
Related Virginia Property Valuation Questions
- The Virginia real estate market in the Roanoke Valley differs from Northern Virginia primarily in terms of:
- Economic obsolescence (external obsolescence) in a Virginia appraisal is caused by:
- In Virginia, the assessed value of real property for tax purposes is typically:
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- A Virginia investor calculates the capitalization rate for a potential acquisition. If the cap rate is rising in the market, property values are generally:
- A Virginia appraiser computes an overall rate (OAR) or cap rate using the 'market extraction method.' This involves:
- An appraiser uses the income approach to value a Virginia apartment complex. 'Economic rent' refers to:
- When a Virginia appraiser reconciles the three approaches to value, they are doing which of the following?
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