Chapter 4 - Property description and appraisal math
The southeast quarter of the southwest quarter of Section 25 contains:
40 acres
In the sales comparison approach, an appraiser adjusted the sales price of a comparable by $10,000. If the comparable sales price was $200,000 what percentage of the sales price did the adjustment represent?
5% ($10000/200000=.05)
A 4inch thick concrete slab is 20ft wide and 30 ft long. How many cubic yards of concrete are contained in the slab?
7.4 cubic yards
Find value of a level annuity
Multiply annuity payment by the sinking fund accumulation factor
Find present value:
Multiply future amt by reversion factor
The system used to describe land by referring to a recorded map showing its boundaries is known as the:
lot and block system
A metes and bounds description describes the boundaries of a parcel of land by:
living the course and distance for each boundary. -The point where the actual description of the property boudaries begins and ends is the true point of beginning -Courses in a metes and bounds description are described according to their deviation from true north or south.
A property was valued at $124,000 based on an annual direct capitalization rate of 13%. What is the property's annual income?
$16,120
If simple interest of 2% per year is paid on an account, how much interest will be earned after 2 years by an investment of $100
$4.00
A house has a gross living area of 1400 square feet. If the walls are 8 feet high what is the volume of the living area:?
11,200 cubic feet (1400 sq feet x 8 feet =11,200 cubic feet)
An annual income multiplier of 6.67 is equivalent to a captitalization rate of:
15% (1/6.67=.15)
How many acres are contained in a square parcel of land that measures 330' on each side?
2.5
formulas
A=BXC, B=A/C or c=A/B
simple interest formula
Interest = principal x rate x time, rate and time must be express in corresponding units
Area
Is the size of something in two dimensions, measured in square units (square feet, square yards, etc) -Area of a rectangle = Lx w -Area of a triangle = 1/2 x base x height -The base can be any side of the triangle. Corresponding height is the perpendicular distance from the base to the opposite point of the triangle. -irregular figures can be divided into component rectangles and traiangles, and the ares of the ocmpoentes added together to find the area of the whole. -in area calculations, both dimensions must be expressed in the same unit of measurement.
The lot and block sys
idenitifies land by referring to a numbered parcel on a plat map that is kept in the local county records ofc.
Formula for captalization:
income = rate x value or value =income x multiplier
When performing financial calculations involving compound interest, the interest rate used for the calculations is the
interest rate per compounding period
A natural or man-made landmark that is used in a metes and bounds description is :
monument
Find annuity payment amt corresponding to given future value
multiply future value by the corresponding sinking fund
Find future value:
multiply present amt by appropriate compound interest factor
Find annuity payment amt corresponding too given present value
multiply present value by corresponding direct reduction factor
Find present value of a level annuity
multiply the annuity payment by level annuity factor
Reciprocal
of a # is equal to 1 divided by the number. Reciprocals always come in pairs, with each one of the pair being th reciprocal of the other
A reversion factor would be used to calculate the:
present value of a future amount
The factor used to calculate the future value of a level annuity is the:
sinking fund accumulation factor
The rectangular (gov.'t) survey system:
subdivides land into rectangular grids for purposes of identification. -each grid sys. is identified by the name of its principal meridian (north-south line) and base line (east-west line) -township lines(east-west) and range lines (n-s) divide the land into townships measuring 6 miles on each side. The townships are numbered according to their distance from the principal meridian and base line e.g. township 3 North, Range 2 West. -townships are divided into 36 numbered sections, each measuring 1 mile on a side and containing 640 acres. -sections may be further divided into quarter sections, quarter-quarter sections, etc. -adjustments to account for convergence are made at intervals of 24 miles north and south of the base line, at correction lines (std parallels) the range lines at intervals of 24 miles east and west of the principal meridian are called guide meridians. -partial sections (resulting from convergence, bodies of water or other causes) may be identified as govt' lots with a special identifying #.
Courses in metes and bounds descriptions are given according to:
the angle of deviation from north or south
The primary north-south line in a rectangular survey grid is called
the principal meridian
Volume
the size of something in 3 dimensions, measured in cubic units -vol of a prism = area of matching parallel sidexlength of connecting edge -in vol calculations, all3 dimensions must be expressed in the same unit of measurement