Property Valuation
In Washington, a 'stabilized value' appraisal for an income property is based on:
AThe property's value at 100% occupancy
BThe property's value assuming a typical (stabilized) occupancy rate rather than its current actual occupancy✓ Correct
CThe county assessor's stabilized assessment
DThe NOI after all deferred maintenance is cured
Explanation
A stabilized value assumes the property is operating at a normal, sustainable occupancy level for its property type and location — neither the current possibly-low occupancy of a newly leased building nor a temporarily high occupancy.
Related Washington Property Valuation Questions
- When appraising a single-family home in Seattle, an appraiser would give the MOST weight to the:
- Effective age differs from actual age in appraisal because:
- In Washington, the cost approach to value is most reliable for appraising:
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- The sales comparison approach adjusts the sale prices of comparable properties for differences with the subject property. If a comparable sold for $500,000 and has a feature the subject lacks, the appraiser should:
- In Washington, 'functional utility' as used in appraisal refers to:
- In Washington, a residential property's 'replacement cost new' (RCN) is best estimated using which method for an appraiser?
- In Washington, the 'market extraction method' is used by appraisers to determine:
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