Property Valuation
When comparable sales in a Wisconsin CMA are from 18 months ago, the appraiser should:
AUse them without adjustment
BAdjust for market conditions (time adjustment) to reflect current market trends✓ Correct
CDiscard them entirely
DUse them only if the market has not changed
Explanation
Time adjustments are made to comparable sales to account for changes in market conditions between the date of the comparable sale and the effective date of the appraisal.
People Also Study
Related Wisconsin Questions
- A comparable sale in Wisconsin was made under duress (divorce-related forced sale). For appraisal purposes, this sale:Property Valuation
- A Wisconsin appraiser finds that the market has been increasing 3% per year. A comparable sale from 12 months ago sold for $300,000. The time-adjusted value of that comparable is approximately:Property Valuation
- When using the sales comparison approach, a Wisconsin appraiser makes a 'minus adjustment' to a comparable sale when the comparable has a:Property Valuation
- A Wisconsin appraiser makes a negative adjustment to a comparable sale because the comparable has a feature the subject property lacks. This means the comparable sold for:Property Valuation
- A Wisconsin listing agent who becomes aware that a buyer has made simultaneous competing offers on multiple properties at the same time should:Agency
- Wisconsin requires that a property inspection for a private well at time of sale test for:Environmental
Key Terms to Know
Appraisal
A professional estimate of a property's market value prepared by a licensed or certified appraiser.
Comparable Sales (Comps)Recently sold properties similar in size, condition, and location used by appraisers and agents to estimate a property's market value.
Purchase AgreementA legally binding contract between a buyer and seller that outlines the terms and conditions of a real estate sale.
Capitalization Rate (Cap Rate)A rate used to estimate the value of income-producing property, calculated as Net Operating Income divided by property value.
Study This Topic
Practice More Wisconsin Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Wisconsin Quiz →