Basic Appraisal Procedures McKissock Exam Questions and Answers 2024/2025 (Already GRADED A+)
Valuation process
A systematic procedure used in the
... [Show More] valuation of real property.
Client
The party or parties who engage, by employment or contract, an appraiser in a
specific assignment.
Steps in Defining the problem
Identification and location of the real estate; Identification of the property rights;
Definition of value; Purpose and intended use of the appraisal; Effective date of
the opinion of value; Any special limiting conditions
Real property
The interests, benefits, and rights inherent in the ownership of real estate.
Market Value
A type of value, stated as an opinion, that presumes the transfer of a property
(i.e., a right of ownership or a bundle of such rights), as of a certain date, under
Basic Appraisal Procedures McKissock
Exam Questions and Answers 2024/2025
(Already GRADED A+)
specific conditions set forth in the definition of the term identified by the
appraiser as applicable in an appraisal.
Intended Use
The use or uses of an appraiser's reported appraisal or appraisal review
assignment opinions and conclusions, as identified by the appraiser based on
communication with the client at the time of the assignment.
Intended User
The client and any other party as identified, by name or type, as users of the
appraisal or appraisal review report by the appraiser on the basis of
communication with the client at the time of the assignment.
Effective Date of the Value
The ____________ can be a past (retrospective), current or future (prospective)
date. This decision will be made in concert with the client's needs.
Extraordinary assumption
An assumption, directly related to a specific assignment, as of the effective date
of the assignment results, which, if found to be false, could alter the appraiser's
opinions or conclusions.
Hypothetical Condition
A condition, directly related to a specific assignment, which is contrary to what is
known by the appraiser to exist on the effective date of the assignment results,
but is used for the purpose of analysis.
Scope of work
The type and extent of research and analyses in an assignment.
Workfile
Documentation necessary to support an appraiser's analyses, opinions, and
conclusions
Steps in the Valuation Process
1. Define the problem 2. Determine scope of work 3. Gather, record, and verify
the data 4. Determine the highest and best use 5. Estimate the land value 6.
Estimate value by each of the three approaches (if applicable) 7. Reconcile the
estimated values into the final opinion of value 8. Report the final opinion of
value
Highest and Best Use Criteria (in order)
1. Legally permissible 2. Physically possible. 3. Financially feasible. 4. Maximally
productive [Show Less]
