Property Valuation
When reconciling value indications from multiple appraisal approaches, a Virginia appraiser should:
AAlways average the three approach values
BGive the most weight to the approach most appropriate for the property type and with the most reliable data✓ Correct
CAlways use the highest value indicated
DUse only the income approach for all properties
Explanation
Reconciliation involves analyzing the value indications from each approach and giving greatest weight to the most applicable approach for the property type, with the most reliable data. It is not a mechanical average.
Related Virginia Property Valuation Questions
- A Virginia property's economic life is the period during which:
- In the cost approach, 'replacement cost new' differs from 'reproduction cost new' in that:
- The regression principle in Virginia appraisal holds that:
- An appraiser in Virginia is required to report any pressure from a client to change a value conclusion. Under USPAP, this is called:
- A Virginia appraiser is asked to appraise a property for 'mortgage lending purposes.' Under FIRREA and USPAP, the appraiser must:
- The principle of progression in appraisal means:
- An appraiser in Richmond applies the cost approach to a 20-year-old warehouse. Total reproduction cost new is $800,000 and land value is $150,000. Depreciation is estimated at 25%. What is the value indication?
- The appraisal principle of conformity in Virginia holds that:
Practice More Virginia Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Virginia Quiz →