Property Valuation

A Wisconsin appraiser who encounters a property with a 'super-adequacy' (e.g., a $200,000 swimming pool in a neighborhood of $150,000 homes) should recognize:

AThe pool adds full value to the appraisal
BThe pool represents functional obsolescence (over-improvement) — the market will not pay dollar-for-dollar for the improvement✓ Correct
CThe pool should not be mentioned in the appraisal
DThe pool requires a separate appraisal

Explanation

A super-adequacy is a form of functional obsolescence — an over-improvement that costs more to install than the market value it adds; the appraiser must account for this loss in value.

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