Residential Market Analysis and Highest & Best Use McKissock Questions with 100% Correct Solutions, A+

The power of a given commodity to satisfy a need or want is called __________________. - Utility The development of a vacant land area is _____________ the highest and best use of the land. - Not Always The Consistent-Use Theory says the _______________ must all be valued considering the same highest and best use of the property - Land and the Buildings ________________ involves subdividing the larger market into a workable study area. - Market Identification The ________________ Cycle of a neighborhood is characterized by demand and supply trending toward equilibrium. - Stability Eminent domain is the right of the government to take private property, for public good, with __________________. - Just Compensation The improvements are normally valued for their ___________ value relative to the highest and best use of the land. - Contributory The right of eminent domain may be exercised by these 3. - State government agencies Public service companies Local government The relationship between the supply and the demand for a site's particular highest and best use is a part of the analysis of ___________________ . - Financial Feasibility All of these are Governmental restrictions on land use EXCEPT ______________________. - Deed Restrictions Because of the Principle of _______________ the appraiser's opinion of value is always "as of" a specific date or time. - Change Another name for a market segment is a ____________________. - Submarket A _______________ neighborhood is said to be in conformity. - Homogenous Which statement is NOT true regarding market identification? - The market should include all properties in a geographic area. The market is too nebulous to analyze as a whole, so the appraiser must segment the market into ______________ in order to look for trends. - Components The two types of data that are used in market analysis are _________________. - General and Specific Which of these is NOT one of the ingredients of a Highest and best Use? Physically possible Legally Permissible Financially feasible Consistent Use - Consistent Use Which of these is NOT one of the four agents of production? Land Building Codes Labor Capital - Building Codes USPAP says that "appraisers are cautioned to identify the exact definition of market value and ____________________" - its authority. Legally nonconforming use is "a use that was lawfully established and maintained, but no longer conforms to the use regulations of the _______________ in the zone where it is located." - Current zoning The cost of foregoing one type of investment for another is the Principle of __________________. - Opportunity Costs Some assignments require personal verification of comparable sales with a party to the transaction. These might include all of these (Buyer, Assessor, Seller, Agent) EXCEPT ______________. - assessor SLIDE IDENTIFICATION - Another name for Sole Ownership is _________________. - Ownership in Severalty Statistical analysis of data is a mechanical means to ascertain estimates using formulas specifically designed for the compilation of ___________________. - Large amounts of data Deed restrictions are an example of __________ restrictions on land use. - Private Which highest and best use criterion would require an appraiser to consider the soil composition of the site? - Physically Possible The cost of a given amenity does not guarantee the ___________ of that particular item. - Value Value in Use is based on the property's _________________. - current use. A property with restaurants and retail shops on the lower level and apartments on levels above is called a(n) ___________ property. - multi-use An acronym to help you remember the bundle of rights is ______________. - SLUGER The Bundle of Rights" or property interests are commonly considered to include: • The right to Sell the property • The right to Lease or rent the property • The right to Use or demolish the property • The right to Give it away • The right to Enter or leave the property • The right to Refuse any of these rights. _______________ analysis examines the present worth of a future benefit. - Investment analysis An opinion of value can be directly related to the ________________ of the rights of ownership for the individual property. - Presence or absence The elements of nature can affect value. This is called a(n) _____________ force. - Environmental Force The difference between the highest sale price and the lowest sale price for those sales being analyzed is the ____________. (Mean Median Mode Range) - Range A broad-based analysis involves the study of the supply and/or demand for a particular type of property or commodity within a particular service area or community. There is not a specific property or location involved in this type of analysis, which is called a ____________ Analysis. - Market