Property Evaluation & Analysis Flashcards
7 cards from real CGA practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Property Evaluation & Analysis flashcards as text
Which depreciation category accounts for a roof that has exceeded its expected useful life?
Answer: Physical deterioration
Physical deterioration includes wear and tear or age-related decline such as a roof reaching the end of its useful life.
A property's effective age is best described as:
Answer: The age indicated by the property's condition and utility relative to new construction
Effective age reflects the property's apparent condition and functional utility rather than its actual chronological age.
In the sales comparison approach, a paired sales analysis is used to:
Answer: Isolate the contribution of a single feature by comparing sales that differ only in that feature
Paired sales analysis identifies market-supported adjustments by comparing two otherwise identical sales that differ by one characteristic.
The term 'plottage' refers to the:
Answer: Additional value created when two or more parcels are combined into one larger parcel
Plottage is the increment of value that results from combining contiguous parcels into a single, larger, more useful parcel.
When reconciling value indications in a CGA appraisal, the appraiser should:
Answer: Weight each approach based on data quality, relevance, and applicability to the property type
Reconciliation requires the appraiser to exercise professional judgment by weighting approaches according to their reliability and applicability to the subject property.
Which of the following best defines 'market rent'?
Answer: The rent a property would command in an open, competitive market at the time of appraisal
Market rent is the most probable rent that a property would command in an open, competitive market under arm's-length conditions.
An appraiser applies a 10% upward adjustment to a comparable sale. This most likely means the comparable is:
Answer: Inferior to the subject in the adjusted characteristic
If a comparable is inferior to the subject in some characteristic, the appraiser adjusts the comparable's price upward to reflect what it would have sold for if it were equal to the subject.