Quiz 05: Data Collection and Analysis

.Exterior building data includes the type and condition of: A. roofing materials B. gutters C. windows D. all of the choices

The correct answer is "All of the choices". Review section "A. CATEGORIES OF BUILDING DATA - EXTERIOR DATA" for details. EXTERIOR BUILDING DATA includes the type and condition of roofing materials, gutters and downspouts, exterior siding and trim, windows and window accessories, and exterior doors.

Any data that pertains specifically to the subject property is known as: A. subject property data B. general data C. primary data D. both A and C

The correct answer is A .Review section "C. SUBJECT PROPERTY DATA" for details. SUBJECT PROPERTY DATA is any data that pertains specifically to the subject property. This includes physical characteristics such as size and number of rooms, floor plan, architectural features, landscaping, special amenities and also includes other specific data that affects the value of the property, such as terms of sale or special financing arrangements.

Information about the parts of a building below (or mostly below) grade level is known as: A. sub-structure data B. general building data C. sewer data D. underground data

The correct answer is A. Review section "A. CATEGORIES OF BUILDING DATA - 3. SUB-STRUCTURE DATA" for details. SUB-STRUCTURE DATA (also known as foundation data) is information about the parts of the building that are below (or mostly below) grade level: the foundation and, if applicable, the basement or crawl space.

Neighborhood boundaries: A. are determined by market influences B. always correspond to physical barriers such as roads or streams C. never correspond to physical barriers such as roads or streams D. are the same as subdivision boundaries

The correct answer is A. Review section "A. DEFINING NEIGHBORHOOD BOUNDARIES" for details. Neighborhood boundaries are defined by changing market influences. They may or may not coincide with physical boundaries or changes in land use

Frontage, or front footage, is the length of a property's boundary where it adjoins: A. a street B. a body of water C. neighbor's property or fence D. church property or school district

The correct answer is A. Review section "A. SITE DESCRIPTION" for details. FRONTAGE (or front footage) is the length of a property's boundary where it adjoins a street or body of water.

Frontage is the length of a property's boundary where it adjoins a: A. street or body of water B. neighbor's property or fence C. church property or school district D. all of the choices

The correct answer is A. Review section "A. SITE DESCRIPTION" for details. FRONTAGE (or front footage) is the length of a property�s boundary where it adjoins a street or body of water.

In an appraisal of residential property, building data would NOT be used to: A. determine the highest and best use of the land as if vacant B. adjust the sales prices of comparable properties (sales comparison approach) C. estimate reproduction cost or replacement cost in the cost approach to value D. identify comparable properties for analysis

The correct answer is A. Review section "B. BUILDING DATA" for details. Knowledge of the detailed building data will help the appraiser make any necessary adjustments for differences between the subject improvements and those of the comparables. This data is also useful in estimating the reproduction or replacement cost of the improvements, and also in the analysis of depreciation due to deterioration or other causes.

Site improvements that are valued as part of the curbs, and sewers are referred to as: A. off-site improvements B. on-site improvements C. adjacent-to-site improvements D. both A and B

The correct answer is A. Review section "B. PHYSICAL DATA " for details. Off-site improvements that are relevant to a site description include: streets; neighborhood utilities, storm sewers. etc.

If market interest rates are 8%, and a comparable property is sold with seller financing at 6%, the price paid for the comparable property is likely to be: A. higher than market value B. lower than market value C. the same as market value D. none of the above

The correct answer is A. Review section "C FINANCING" for details. But when a sale includes financing that is not typical of the market, the appraiser must take into account the effect of the financing terms on the price paid for the property. Seller financing is not typical financing in most markets and buyers usually pay a price that is higher than market value when it occurs.

Subject property data pertains specifically to: A. the subject property B. comparable properties C. properties sold in the last six months D. all of the above

The correct answer is A. Review section "C. SUBJECT PROPERTY DATA" for details. SUBJECT PROPERTY DATA is any data that pertains specifically to the subject property. This includes physical characteristics such as size and number of rooms, floor plan, architectural features, landscaping, special amenities and also includes other specific data that affects the value of the property, such as terms of sale or special financing arrangements.

In a comparable sale, the seller paid closing costs for real estate transfer taxes. This fact would be relevant to the appraisal: A. if not customary in the market for the seller to pay the transfer taxes B. only if the transfer taxes exceeded $500 C. only if the sale was an arm's length transaction D. in all cases

The correct answer is A. Review section "D SALE CONITIONS" for details. Conditions of sale that affect value also include special concessions by the seller, such as agreeing to pay some or all of the buyer's loan costs or in this case pay for the transfer tax.

The type of data used in the cost approach to determine the replacement or reproduction cost of the subject property is called

The correct answer is A. Review section "E. COST DATA" for details .COST DATA, is used in the cost approach to value. It is used to determine the replacement or reproduction cost of the subject property.

The type of data used in the cost approach to determine the replacement or reproduction cost of the subject property is called: A. cost data B. off-site improvement data C. on-site improvement data D. contractor estimation data

The correct answer is A. Review section "E. COST DATA" for details. COST DATA, is used in the cost approach to value. It is used to determine the replacement or reproduction cost of the subject property.

A geographical area with complementary land uses and similar influences affecting value is: A. a neighborhood B. a city C. a township D. all of the above

The correct answer is A. Review section "III. NEIGHBORHOOD DATA " for details. A A NEIGHBORHOOD can be defined as a geographical area in which land uses are complementary and in which all properties are influenced similarly by the forces affecting value.

Data pertaining to real estate values in general, on a national, regional and local level is called: A. general data B. specific data C. primary data D. secondary data

The correct answer is A.Review section "I. UNDERSTANDING DATA" for details.GENERAL DATA pertaining to real estate values in general, on a national, regional and local level, like interest rates, employment rates, and census information

Public improvements that support basic needs, such as transportation and utilities, is a(n): A. economic base B. infrastructure C. negative indicator of value D. none of the above

The correct answer is B. Review section "3. INFRASTRUCTURE" for details. INFRASTRUCTURE refers to public improvements that support basic needs, such as transportation and utilities.

EER stands for: A. Equal Economic Reciprocal B. Energy Efficiency Ratio C. Elderly Entertainment Room D. Electrical Energy Rating

The correct answer is B. Review section "7. ENERGY EFFICIENT DATA" for details. EER (Energy Efficiency Ratio) is a measure of energy efficiency; the higher the EER the higher the efficiency.

Which of the following is NOT a consideration when gathering demand data? A. Wage levels B. Temperature C. Employment levels D. Population shifts

The correct answer is B. Review section "B. COMPETITIVE SUPPLY AND DEMAND DATA" for details. "Competitive supply and demand data" is a form of market trend data, one that is more closely tied to a particular (local) market. DEMAND DATA includes items such as wage and employment levels and population shifts, which drive demand in the local market.

Site improvements that are valued as part of the land, such as clearing and grading are referred to as: A. off-site improvements B. on-site improvements C. adjacent-to-site improvements D. both "off site and on-site" improvements

The correct answer is B. Review section "B. PHYSICAL DATA " for details. SITE DATA is specific data regarding the subject property site. A site is defined as land that has been prepared for use, for example by clearing, grading and development of access and utilities.

A property that is similar to the subject property in certain characteristics is called: A. a relative property B. a comparable property C. a reasonable facsimile property D. a twin

The correct answer is B. Review section "D. COMPARABLE PROPERTY DATA" for details. A COMPARABLE PROPERTY is a property that is similar to the subject property in certain key characteristics.

With the cost approach to value, what type of specific market data is used to determine the replacement or reproduction cost of a subject property? A. Building data B. Cost data C. Income data D. Insurance data

The correct answer is B. Review section "VI. SPECIFIC MARKET DATA - E. COST DATA" for details. COST DATA is a type of specific market data, it is used in the cost approach to value. It is used to determine the replacement or reproduction cost of the subject property.

Which of the following does NOT contribute to an infrastructure? A. Highways and sanitation facilities B. Power and water supplies C. Churches and massage parlors D. Public transportation facilities

The correct answer is C. Review section "3. INFRASTRUCTURE" for details. Infrastructure data that includes:1. public transportation facilities (airlines, railroads, busses),2. highways,3. power and water supplies, and4. sanitation facilities (sewage treatment and solid waste disposal).

Which of the following is NOT included in exterior building data? A. Gutters and downspouts B. Windows and window accessories C. Landscaping D. Type and condition of roofing material

The correct answer is C. Review section "4. EXTERIOR DATA" for details. EXTERIOR BUILDING DATA includes the type and condition of roofing materials, gutters and downspouts, exterior siding and trim, windows and window accessories, and exterior doors.

The most reliable building data for the subject property is acquired by: A. reviewing the plans and specifications B. interviewing the property owner C. personal inspection D. reviewing previous appraisal report on the property

The correct answer is C. Review section "B. BUILDING DATA" on page 148 for details. The most reliable building data for the subject property a is collected or verified by personal inspection.

Which of the following is NOT a regional value indicator? A. Economic base B. Transportation systems C. Neighborhood systems D. Topography of land

The correct answer is C. Review section "B. REGIONAL AND COMMUNITY VALUE INDICATORS" for details .Appraisers maintain regional and community data on a wide range of subjects. Some of the more common regional and community value indicators include:1. Natural Environmental Factors2. Economic Characteristics3. Infrastructure

When a neighborhood includes only one type of land use, it is sometimes referred to as:

The correct answer is C. Review section "II. NEIGHBORHOOD DATA" for details. a neighborhood may include residences, schools and retail shops, all of which complement each other. When a developed neighborhood includes only one type of land use, it is sometimes referred to as a DISTRICT.

The dimension of the site measured parallel to the street on which the site address is located is: A. the volume B. the depth C. the width D. none of the above

The correct answer is C. Review section "SITE DESCRIPTION" for details. WIDTH is the dimension of the site measured parallel to the street on which the site address is located. DEPTH is the opposite dimension, perpendicular to the street.

Substructure data includes information about the: A. foundation B. basement C. crawlspace D. all of the above

The correct answer is D. Review section "3. SUB-STRUCTURE DATA" for details. SUB-STRUCTURE DATA (also known as foundation data) is information about the parts of the building that are below (or mostly below) grade level: the foundation and, if applicable, the basement or crawl space

Sub-structure data: A is also known as foundation data B. is information about the parts of the building below grade level. C. includes basement or crawl space D. all of the above

The correct answer is D. Review section "3. SUB-STRUCTURE DATA" for details. SUB-STRUCTURE DATA (also known as foundation data) is information about the parts of the building that are below (or mostly below) grade level: the foundation and, if applicable, the basement or crawl space.

Special feature data in a residential analysis includes: A. any items that may affect value B. size and type of car storage C. fireplaces, fences, pools, and spas D. all of the above

The correct answer is D. Review section "8. SPECIAL FEATURE DATA" for details. SPECIAL FEATURE DATA includes any items that may affect value. All of the answers are items that may affect value.

.Demand data includes: A. wage data B. employment levels C. population shifts D. all of the above

The correct answer is D. Review section "A. IDENTIFYING THE NECESSARY DATA" for details. DEMAND DATA includes items such as wage and employment levels and population shifts, which drive demand in the local market

In gathering general data, what forces interact to affect value? A. Social and economic B. Governmental and environmental C. Physical and social D. Both "Social and economic" and "governmental and environmental"

The correct answer is D. Review section "A. MARKET TREND DATA" for details. The terms MARKET TREND DATA and GENERAL DATA both refer to the same thing: information about the ways that social, economic, governmental and environmental (physical) forces interact to affect value�not specific to a certain property only.

According to market trend data, what two forces interact to affect value? A. Social and economic B. Governmental and environmental C. Trendy and superficial D. Both A and B

The correct answer is D. Review section "A. MARKET TREND DATA" for details. The terms MARKET TREND DATA refer to about the ways that social, economic, governmental and environmental (physical) forces interact to affect value�not specific to a certain property only

Off-site improvements that are relevant to a site description include: A. streets B. neighborhood utilities C. storm sewers D. all of the above

The correct answer is D. Review section "B. PHYSICAL DATA" details. Some of the off-site improvements cover the street or an alleyway, curbs, gutters, lighting and sewers.

Which of the following are gathered for neighborhood data? A. Growth rates B. Zoning regulations and population characteristics C. Taxes and public services D. All of the above

The correct answer is D. Review section "C. SOURCES OF NEIGHBORHOOD DATA" for details. NEIGHBORHOOD DATA, a geographic area delineated by geographic or political boundaries characterized by having complementary uses that include growth rates, zoning regulations, population characteristics, taxes, and public services.

What characteristics must a comparable property have in common with a subject property? A. Similar physical characteristics B. Appealing to the same buyers C. Location in the same market area D. All of the above

The correct answer is D. Review section "D. COMPARABLE PROPERTY DATA" for details. For a property to be truly comparable, it must:1. have similar physical characteristics to the subject property;2. be competitive with the subject property, that is, appeal to the same kinds of buyers in the market;3. be located in the same market area as the subject property; and4. have sold within a limited time from the valuation date (normally within six months).

Appraisal data is categorized as: A. general data or specific data B. primary data or secondary data C. subject or comparable data D. both A and B

The correct answer is D. Review section "I. UNDERSTANDING DATA " for details. Appraisal Data may be classified as either GENERAL DATA (pertaining to real estate values in general, on a national, regional and local level, like interest rates, employment rates, and census information) or SPECIFIC DATA (pertaining to a particular property, including comparable and improved sales).Data is also categorized as PRIMARY or SECONDARY, depending on whether it is generated directly by the appraiser or obtained from published sources.

Neighborhood data in an appraisal is used to: A. identify comparable properties for analysis (sales comparison approach) B. identify value influences that affect the subject property C. support the appraiser's estimate of value D. all of the above

The correct answer is D. Review section "III. NEIGHTBORHOOD DATA" for details. Neighborhood data are gathered, and from which the most reliable comparable properties can be chosen.

Site data is specific data: A. Regarding the subject property site B. Used for highest and best use analysis C. Used in cost reproduction approach D. Both A and B

The correct answer is D. Review section "IV. SITE DATA" for details. SITE DATA is specific data regarding the subject property site. In an appraisal, the site is distinguished from its improvements (buildings, etc.) for several reasons, such as:1. for highest and best use analysis;2. to provide data for certain valuation techniques (such as the cost approach to value); and3. sometimes as a requirement of the appraisal assignment (as in appraisals for tax assessment purposes).

The sales price of a comparable property may need to be adjusted to account for: A. financing terms B. date of sale C. sale conditions D. all of the above

The correct answer is D. Review section "VI. PRICES AND TERMS OF SALE" for details. Sales price alone is not a sufficient indicator of value, even for a comparable that is almost identical to the subject property. The appraiser must also gather data on the conditions of the sale. Of particular importance are the date of the comparable's sale, its financing terms, and any special circumstances associated with the sale