Property Valuation
In Virginia, an appraiser who finds that the subject property's market rent equals the contract rent has determined there is:
AExcess rent
BNo bonus value or value decrement from the lease✓ Correct
CBelow-market rent
DA capitalization rate problem
Explanation
When contract rent equals market rent, there is no rent surplus or deficit. The property's value is unaffected by the lease terms from a rental income perspective.
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