Property Tax Consultant (TX)
Chattel - answer Personal Property
Highest and Best Use - answer That use of a parcel of land which will produce the
highest return on the investment
Ad Valorem - answer Taxed according to value
Appraisal Roll - answer A listing of all appraisal records, as changed by order of the
ARB and approved by that board, constitute the appraisal roll for the district. A listing of
all appraisal records within an appraisal district.
Depreciation - answer Loss of usefulness and value due to physical deterioration,
functionality, or economic conditions.
Gross Rent Multiplier (GRM) - answerA number, that when multiplied by a property's
gross rents, producers an estimate of market value. Appraisal districts may use a gross
rent multiplier primarily on residential property that is not owner occupied in lieu of other
appraisal methods if it produces the best estimate of fair market value. The multiplier is
derived from interest and risks rates common to the area much like the rates used in the
income approach to value.
Cost Approach to Value - answerMethod of estimating market value based on current
cost to replace, less depreciation. Using the cost approach to estimate market value is
one of three acceptable appraisal methods. Once the current cost to replace the
improvements is established, depreciation is deducted and the value of the land is
added to estimate current market value.
Preferred Method of Appraisal for newly constructed or Unique properties - answerCost
Approach
Comparable Sales or Market Approach - answerMethod of estimating market value
using sales of comparable properties. Comparable sales approach, or market approach,
is one of the three acceptable appraisal methods for estimating market value. In single
property appraisals, recent sales of like properties are located and adjusted to the
subject property for age, size, amenities and other characteristics that effect value.
Mass appraisal techniques used by the appraisal district employ the same concept
applying comparable sales within an area to other properties within the same assigned
area.
Three Acceptable Appraisal Methods - answerCost Approach, Market Approach,
Income Approach
, Income Approach to Value - answerMethod of estimating market value based on the
monetary returns that a property can be expected to produce
Preferred Method of Appraisal for Commercial properties - answerIncome Approach
Income Producing Personal Property - answerProperty not permanently attached to real
estate and other assets such as inventories, furniture, and machinery
Intangible Personal Property - answerMay not be perceived by the senses: cash,
accounts receivable, stocks, contracts, and copyright
Legal Description - answerUsed to describe the physical location of real property, may
be metes and bounds, surveys, or lot and block
Life Cycle of a Market - answerGrowth, Stability, Decline Revitalization
Metes and Bounds - answerA method of land description that identifies a parcel by
specifying its shape and boundaries
NOI (Net Operating Income) - answerGross income less operating expenses,
vacancies, and collection losses
Parcel - answerA specific property made unique by its description of metes and bounds,
lot and block, abstract survey, or other characteristics
Mass Appraisal - answerThe method by which a group of comparable properties may
be appraised based on the characteristics of the entire property class
Residential Mass Appraisal - answerBegins by defining areas with like influences such
as school district, construction type and age. Sales within the subject area may then be
used to appraise the entire area with relatively few adjustments
Plat - answerA map that shows the location and boundaries of individual parcels of
properties
Realty - answerReal property
Reciprocity - answerAn arrangement by which one state honors licenses issued by
another state and vice versa
Rendition - answerAn annual report filed with the appraisal district that reflects the name
and address of the property owner, the type and location of the property, and the
owner's opinion of market value.
Replacement Cost - answerThe cost to replace an improvement at today's cost
Chattel - answer Personal Property
Highest and Best Use - answer That use of a parcel of land which will produce the
highest return on the investment
Ad Valorem - answer Taxed according to value
Appraisal Roll - answer A listing of all appraisal records, as changed by order of the
ARB and approved by that board, constitute the appraisal roll for the district. A listing of
all appraisal records within an appraisal district.
Depreciation - answer Loss of usefulness and value due to physical deterioration,
functionality, or economic conditions.
Gross Rent Multiplier (GRM) - answerA number, that when multiplied by a property's
gross rents, producers an estimate of market value. Appraisal districts may use a gross
rent multiplier primarily on residential property that is not owner occupied in lieu of other
appraisal methods if it produces the best estimate of fair market value. The multiplier is
derived from interest and risks rates common to the area much like the rates used in the
income approach to value.
Cost Approach to Value - answerMethod of estimating market value based on current
cost to replace, less depreciation. Using the cost approach to estimate market value is
one of three acceptable appraisal methods. Once the current cost to replace the
improvements is established, depreciation is deducted and the value of the land is
added to estimate current market value.
Preferred Method of Appraisal for newly constructed or Unique properties - answerCost
Approach
Comparable Sales or Market Approach - answerMethod of estimating market value
using sales of comparable properties. Comparable sales approach, or market approach,
is one of the three acceptable appraisal methods for estimating market value. In single
property appraisals, recent sales of like properties are located and adjusted to the
subject property for age, size, amenities and other characteristics that effect value.
Mass appraisal techniques used by the appraisal district employ the same concept
applying comparable sales within an area to other properties within the same assigned
area.
Three Acceptable Appraisal Methods - answerCost Approach, Market Approach,
Income Approach
, Income Approach to Value - answerMethod of estimating market value based on the
monetary returns that a property can be expected to produce
Preferred Method of Appraisal for Commercial properties - answerIncome Approach
Income Producing Personal Property - answerProperty not permanently attached to real
estate and other assets such as inventories, furniture, and machinery
Intangible Personal Property - answerMay not be perceived by the senses: cash,
accounts receivable, stocks, contracts, and copyright
Legal Description - answerUsed to describe the physical location of real property, may
be metes and bounds, surveys, or lot and block
Life Cycle of a Market - answerGrowth, Stability, Decline Revitalization
Metes and Bounds - answerA method of land description that identifies a parcel by
specifying its shape and boundaries
NOI (Net Operating Income) - answerGross income less operating expenses,
vacancies, and collection losses
Parcel - answerA specific property made unique by its description of metes and bounds,
lot and block, abstract survey, or other characteristics
Mass Appraisal - answerThe method by which a group of comparable properties may
be appraised based on the characteristics of the entire property class
Residential Mass Appraisal - answerBegins by defining areas with like influences such
as school district, construction type and age. Sales within the subject area may then be
used to appraise the entire area with relatively few adjustments
Plat - answerA map that shows the location and boundaries of individual parcels of
properties
Realty - answerReal property
Reciprocity - answerAn arrangement by which one state honors licenses issued by
another state and vice versa
Rendition - answerAn annual report filed with the appraisal district that reflects the name
and address of the property owner, the type and location of the property, and the
owner's opinion of market value.
Replacement Cost - answerThe cost to replace an improvement at today's cost
