Property Valuation
An appraiser in Virginia adds a positive $5,000 adjustment to a comparable sale for a smaller garage than the subject. This adjustment reflects:
AThe comparable's garage is larger than the subject's
BThe subject has a larger garage, making it more valuable, so the comparable's price is adjusted upward✓ Correct
CThe comparable's neighborhood is inferior
DA cost-approach adjustment for a garage addition
Explanation
When a comparable lacks a feature the subject has (subject's garage is larger), the comparable's price is adjusted upward (positive) to reflect what it would have sold for if it had the same feature as the subject.
Related Virginia Property Valuation Questions
- The 'principle of substitution' in real estate appraisal states that:
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- In Northern Virginia, a property's 'time adjustment' in the sales comparison approach accounts for:
- A Virginia appraiser calculating the 'gross rent multiplier' (GRM) method uses the property's:
- A Virginia appraiser uses the 'extraction method' to estimate land value. This involves:
- A Virginia appraiser in the Richmond market finds only two comparable sales in the past 12 months. They may also use:
- In the cost approach, the term 'functional obsolescence' refers to:
- A Virginia appraiser performing an 'as-improved' appraisal of a proposed new construction is appraising the property:
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