Basic Appraisal Principles - Mckissock Learning
Study online at https://quizlet.com/_gv9opg
1. A client has requested that an appraiser value a property that is improved
with an old dilapidated single family home, and asks the appraiser not to
mention the existence of the home in the appraisal report. Which statement
is TRUE regarding this situation?: It would be misleading if the appraiser did not
disclose the existence of this structure in the report.
2. "The price expected for a whole property, e.g., a house, or a part of a
property, e.g., a plumbing fixture, that is removed from the premises usually
for use elsewhere" is the definition of ____________ value.: Salvage
3. Reporting requirements for real property appraisers are set forth in STAN-
DARD ___ of the Uniform Standards of Professional Appraisal Practice.: 2
4. The appraisal standards and qualification criteria that are published by The
Appraisal Foundation achieve legal authority by adoption, citation or imple-
mentation by: Government agencies with the power to regulate or administrate
5. The ________ is responsible for establishing criteria for individuals to be-
come real property appraisers: Appraiser Qualification Board
6. The principle of supply and demand states that the price of a commodity,
good, or service varies __________, but not necessarily _____________, with
demand.: directly, proportionately
7. A lot contains .56 acres. It sells for $35,000. How much did it sell for per
square foot?: $1.43
8. The _______ maintains a national registry of state certified and licensed
appraisers who are eligible to perform appraisals in federally related transac-
tions.: Appraisal Subcommittee
9. When estimating the value of a fireplace in a single-family home, the most
important principle is the principle of: Contribution
10. "The right held by the lessee to use and occupy real estate for a stated term
and under the conditions specified in the lease" is the definition of: leasehold
estate
11. You want to buy a house for $243,500. You can get a loan for 90% of
value. You will also have to pay 2.75 points on the loan. How much will you
have to deliver to closing to cover both the down payment and the loan
points?: $30,376.63
12. The federal financial institutions regulatory agencies directly involved in
fair lending include all of the following EXCEPT: ASB
13. A rectangular property measures 320 feet by 574.45 feet, and it sold for
$263,750. How much did it sell for per acre?: $62,500
14. Which of the following types of investments has historically generated the
highest return on investment?: Real Estate
1/5
, Basic Appraisal Principles - Mckissock Learning
Study online at https://quizlet.com/_gv9opg
15. A market analysis examines ____________ , where a marketability analysis
examines ______________.: a type of property, a specific property
16. The first appraiser organizations were formed in the: 1930s
17. Today, most appraisal data is sent to the client by: Transmitting the appraisal
report through an EDI
18. The median price of homes sold in your county nine months ago was
$217,400. Prices have been increasing at the rate of 8% per year. What is the
median price of homes today?: $230,444
19. "The study of the economics of individual spheres of activity or patterns
and behaviors, e.g., a firm, an industry, a retail market, a consumer segment,
pricing, local employment" is the definition of: Microeconomics
20. Which are characteristic of tenancy in common?: no limits to the number of
tenants in common, the ownership does not have to be in equal amounts, interest
can be sold or passed to heirs.
21. What are a few requirements of a valid real estate contract?: Consideration,
in writing and signed, lawful objective.
22. The ______ maintains a National Registry of appraisers.: ASC
23. The four components of the Appraiser Qualification Criteria are:: qualifying
education, examination, experience, continuing education
24. Under the current qualification criteria, an applicant for Appraiser Trainee
must have completed ___ creditable hours of experience.: 0
25. "The sum of values for a variable in a sample or population divided by the
number of items in the sample or population" is the definition of: Mean
26. "A business arrangement in which two or more persons jointly own a
business and share in its profits and losses" is the definition of: Partnership
27. "A mortgage in which the interest rate may move up or down, following
a specified schedule or in accordance with the movements of a standard or
index to which it is tied" is the definition of a(n) ______________ mortgage.: -
Adjustable Rate
28. The _____ has oversight authority over state appraisal boards.: ASC
29. "The ability of a property or building to be useful and to perform the
function for which it is intended according to current market tastes and
standards; the efficiency of a building's use in terms of architectural style,
design and layout, traffic patterns, and the size and type of rooms" is the
definition of: Functional Utility
30. You purchased a house for $120,000, three years ago. Property values
increased 3% the first year, 5%, the second year, and 7% the third year. How
much is your house worth now?: $138,865
2/5
Study online at https://quizlet.com/_gv9opg
1. A client has requested that an appraiser value a property that is improved
with an old dilapidated single family home, and asks the appraiser not to
mention the existence of the home in the appraisal report. Which statement
is TRUE regarding this situation?: It would be misleading if the appraiser did not
disclose the existence of this structure in the report.
2. "The price expected for a whole property, e.g., a house, or a part of a
property, e.g., a plumbing fixture, that is removed from the premises usually
for use elsewhere" is the definition of ____________ value.: Salvage
3. Reporting requirements for real property appraisers are set forth in STAN-
DARD ___ of the Uniform Standards of Professional Appraisal Practice.: 2
4. The appraisal standards and qualification criteria that are published by The
Appraisal Foundation achieve legal authority by adoption, citation or imple-
mentation by: Government agencies with the power to regulate or administrate
5. The ________ is responsible for establishing criteria for individuals to be-
come real property appraisers: Appraiser Qualification Board
6. The principle of supply and demand states that the price of a commodity,
good, or service varies __________, but not necessarily _____________, with
demand.: directly, proportionately
7. A lot contains .56 acres. It sells for $35,000. How much did it sell for per
square foot?: $1.43
8. The _______ maintains a national registry of state certified and licensed
appraisers who are eligible to perform appraisals in federally related transac-
tions.: Appraisal Subcommittee
9. When estimating the value of a fireplace in a single-family home, the most
important principle is the principle of: Contribution
10. "The right held by the lessee to use and occupy real estate for a stated term
and under the conditions specified in the lease" is the definition of: leasehold
estate
11. You want to buy a house for $243,500. You can get a loan for 90% of
value. You will also have to pay 2.75 points on the loan. How much will you
have to deliver to closing to cover both the down payment and the loan
points?: $30,376.63
12. The federal financial institutions regulatory agencies directly involved in
fair lending include all of the following EXCEPT: ASB
13. A rectangular property measures 320 feet by 574.45 feet, and it sold for
$263,750. How much did it sell for per acre?: $62,500
14. Which of the following types of investments has historically generated the
highest return on investment?: Real Estate
1/5
, Basic Appraisal Principles - Mckissock Learning
Study online at https://quizlet.com/_gv9opg
15. A market analysis examines ____________ , where a marketability analysis
examines ______________.: a type of property, a specific property
16. The first appraiser organizations were formed in the: 1930s
17. Today, most appraisal data is sent to the client by: Transmitting the appraisal
report through an EDI
18. The median price of homes sold in your county nine months ago was
$217,400. Prices have been increasing at the rate of 8% per year. What is the
median price of homes today?: $230,444
19. "The study of the economics of individual spheres of activity or patterns
and behaviors, e.g., a firm, an industry, a retail market, a consumer segment,
pricing, local employment" is the definition of: Microeconomics
20. Which are characteristic of tenancy in common?: no limits to the number of
tenants in common, the ownership does not have to be in equal amounts, interest
can be sold or passed to heirs.
21. What are a few requirements of a valid real estate contract?: Consideration,
in writing and signed, lawful objective.
22. The ______ maintains a National Registry of appraisers.: ASC
23. The four components of the Appraiser Qualification Criteria are:: qualifying
education, examination, experience, continuing education
24. Under the current qualification criteria, an applicant for Appraiser Trainee
must have completed ___ creditable hours of experience.: 0
25. "The sum of values for a variable in a sample or population divided by the
number of items in the sample or population" is the definition of: Mean
26. "A business arrangement in which two or more persons jointly own a
business and share in its profits and losses" is the definition of: Partnership
27. "A mortgage in which the interest rate may move up or down, following
a specified schedule or in accordance with the movements of a standard or
index to which it is tied" is the definition of a(n) ______________ mortgage.: -
Adjustable Rate
28. The _____ has oversight authority over state appraisal boards.: ASC
29. "The ability of a property or building to be useful and to perform the
function for which it is intended according to current market tastes and
standards; the efficiency of a building's use in terms of architectural style,
design and layout, traffic patterns, and the size and type of rooms" is the
definition of: Functional Utility
30. You purchased a house for $120,000, three years ago. Property values
increased 3% the first year, 5%, the second year, and 7% the third year. How
much is your house worth now?: $138,865
2/5
