Property Valuation

A West Virginia appraiser determines that a property's highest and best use is for commercial development rather than its current residential use. The appraisal should reflect:

AThe value based on current residential use only
BThe value based on highest and best use (commercial development)✓ Correct
CAn average of residential and commercial values
DThe value the seller believes the property is worth

Explanation

Market value must be estimated based on the property's highest and best use, defined as the reasonably probable use that is legally permissible, physically possible, financially feasible, and maximally productive.

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