Preview Questions Real Estate Appraiser | Role Specific Skill

Question 1: Which of the following is a limitation of the sales comparison approach?

Which action should you take?

Choose only one option

Does not consider cost of improvements

Inapplicable to unique properties

Only focuses on income-producing properties

Ignores rental potential

Question 2: In commercial real estate inspections, how would you evaluate the roof condition and its influence on long-term property value?

Which action should you take?

Choose only one option

Roof conditions only affect value if there is severe water damage

Roof condition has little effect unless leaks or structural failure occur

A deteriorating roof significantly lowers the property value due to high replacement costs

Roofing issues have a minimal effect on property value in commercial properties

Question 3: How should you adjust for property size differences when using the sales comparison approach (SCA) for a multi-unit residential property?

Which action should you take?

Choose only one option

Adjust for price per unit based on the size and market conditions of each unit

Use the total square footage as the sole basis for the adjustment

Disregard the property size and focus only on the number of units

Adjust for the property's original construction cost

Question 4: How does the introduction of new zoning laws in an area with previously limited development impact market trends for real estate appraisals?

Which action should you take?

Choose only one option

It can lead to increased property values by allowing for greater development opportunities

Zoning laws increase demand for new land, but have no effect on pricing

Zoning changes generally have no effect on market trends in developed areas

It will lead to decreased property values due to increased competition

Question 5: What is the primary purpose of a deed in real estate transactions?

Which action should you take?

Choose only one option

To outline property boundaries

To transfer ownership

To document tax liabilities

To list tenant agreements

Question 6: How should appraisers account for green building features during property inspections and appraisals?

Which action should you take?

Choose only one option

They only impact the marketability of the property

They can increase the property value if well-documented

They typically reduce property value

They are not relevant for appraisals