IAAO 300 COMPLETE COURSE REVIEW 2024 LATEST
EXAM 250 QUESTIONS AND CORRECT DETAILED
ANSWERS WITH RATIONALES (VERIFIED ANSWERS) |
ALREADY GRADED A+
Mass appraisal - ANSWER: Systematic appraisal of groups of properties as of a given
date using standardized procedures and statistical testing.
Purpose of mass appraisal - ANSWER: Equitable and efficient appraisal of all property
in a jurisdiction for ad valorem tax purposes.
When did first generation computers emerge? - ANSWER: The 1950s
Mass appraisal models may be: - ANSWER: Physical, conceptual or mathematical.
Property valuation models seek to explain or predict what? - ANSWER: The market
value of properties from real estate data.
Supply factors: - ANSWER: Building costs, interest rates and economic conditions.
Demand factors: - ANSWER: Location, condition and construction quality
Cost approach models require estimates of: - ANSWER: Land values, is if vacant;
reproduction or replacement cost new of all improvements and all accrued
depreciation.
Sales comparison approach models require: - ANSWER: A verified sales database and
contributory value components.
Income approach models require: - ANSWER: Net operating incomes and
capitalization rates for similar use properties.
Basic steps in model building: - ANSWER: Specification and calibration.
Model specification - ANSWER: Defining the form of the model.
Model calibration - ANSWER: Determining the rates used in the model.
Model structures: - ANSWER: Additive, multiplicative or hybrid (generic).
Components of a mass appraisal system: - ANSWER: Data management system, sales
analysis system, valuation system and administrative system.
Data management system: - ANSWER: Collection, entry and editing, conversion,
storage and security.
, Sales analysis system: - ANSWER: Data collection, screening and processing, sales
ratio studies and sales reports.
Valuation system: - ANSWER: Sales comparison approach, cost approach, income
approach, review and reconciliation.
Administrative system: - ANSWER: Budgeting, scheduling, planning, inquiry, analysis,
reporting, assessment roll / notices, forms, wordprocessing and record cards.
Requirements of a mass appraisal system: - ANSWER: Three primary files: (Parcel,
property characteristics and sales file) and methods of updating files: (Batch data
entry and online data entry)
Batch data entry: - ANSWER: Hold file
Online data entry: - ANSWER: Live file
Steps in reappraisal: - ANSWER: Performance analysis (ratio study) reappraisal
decision, analysis of available resources, planning and organizing, system
development procedures, data collection, system implementation, valuation,
preparation of assessment roll and final performance analysis (ratio study).
Data accuracy is determined by: - ANSWER: The quality and quantity of the data.
Quality - ANSWER: Relates to how accurately recorded information, used to estimate
values, reflects the current status of the property.
Quantity - ANSWER: Relates to the completeness of the available data or what must
be collected to capture local market influences.
Methods of evaluating data adequacy: - ANSWER: Field study, ratio study and pilot
study.
Qualitative data: - ANSWER: Subjective
Quantitative data: - ANSWER: Objective
Continuous data: - ANSWER: Quantitative (objective)
Discrete or categorical data: - ANSWER: Qualitative (subjective)
Binary data: - ANSWER: Qualitative (subjective); yes or no
Objective data: - ANSWER: Quantitative
Subjective data - ANSWER: Qualitative
EXAM 250 QUESTIONS AND CORRECT DETAILED
ANSWERS WITH RATIONALES (VERIFIED ANSWERS) |
ALREADY GRADED A+
Mass appraisal - ANSWER: Systematic appraisal of groups of properties as of a given
date using standardized procedures and statistical testing.
Purpose of mass appraisal - ANSWER: Equitable and efficient appraisal of all property
in a jurisdiction for ad valorem tax purposes.
When did first generation computers emerge? - ANSWER: The 1950s
Mass appraisal models may be: - ANSWER: Physical, conceptual or mathematical.
Property valuation models seek to explain or predict what? - ANSWER: The market
value of properties from real estate data.
Supply factors: - ANSWER: Building costs, interest rates and economic conditions.
Demand factors: - ANSWER: Location, condition and construction quality
Cost approach models require estimates of: - ANSWER: Land values, is if vacant;
reproduction or replacement cost new of all improvements and all accrued
depreciation.
Sales comparison approach models require: - ANSWER: A verified sales database and
contributory value components.
Income approach models require: - ANSWER: Net operating incomes and
capitalization rates for similar use properties.
Basic steps in model building: - ANSWER: Specification and calibration.
Model specification - ANSWER: Defining the form of the model.
Model calibration - ANSWER: Determining the rates used in the model.
Model structures: - ANSWER: Additive, multiplicative or hybrid (generic).
Components of a mass appraisal system: - ANSWER: Data management system, sales
analysis system, valuation system and administrative system.
Data management system: - ANSWER: Collection, entry and editing, conversion,
storage and security.
, Sales analysis system: - ANSWER: Data collection, screening and processing, sales
ratio studies and sales reports.
Valuation system: - ANSWER: Sales comparison approach, cost approach, income
approach, review and reconciliation.
Administrative system: - ANSWER: Budgeting, scheduling, planning, inquiry, analysis,
reporting, assessment roll / notices, forms, wordprocessing and record cards.
Requirements of a mass appraisal system: - ANSWER: Three primary files: (Parcel,
property characteristics and sales file) and methods of updating files: (Batch data
entry and online data entry)
Batch data entry: - ANSWER: Hold file
Online data entry: - ANSWER: Live file
Steps in reappraisal: - ANSWER: Performance analysis (ratio study) reappraisal
decision, analysis of available resources, planning and organizing, system
development procedures, data collection, system implementation, valuation,
preparation of assessment roll and final performance analysis (ratio study).
Data accuracy is determined by: - ANSWER: The quality and quantity of the data.
Quality - ANSWER: Relates to how accurately recorded information, used to estimate
values, reflects the current status of the property.
Quantity - ANSWER: Relates to the completeness of the available data or what must
be collected to capture local market influences.
Methods of evaluating data adequacy: - ANSWER: Field study, ratio study and pilot
study.
Qualitative data: - ANSWER: Subjective
Quantitative data: - ANSWER: Objective
Continuous data: - ANSWER: Quantitative (objective)
Discrete or categorical data: - ANSWER: Qualitative (subjective)
Binary data: - ANSWER: Qualitative (subjective); yes or no
Objective data: - ANSWER: Quantitative
Subjective data - ANSWER: Qualitative
