easy · National Real Estate Exam valuation
An appraisal report concludes that a property is worth $450,000.
If this conclusion was reached by multiplying the Sales Comparison indication of $440,000 by 0.70, the Cost indication of $460,000 by 0.20, and the Income indication of $490,000 by 0.10, what has the appraiser done?
- The appraiser has performed reconciliation by weighting the approaches.
- The appraiser has performed a simple average of the three values.
- The appraiser has committed a math error, as the percentages must all be equal.
- The appraiser has used a Comparative Market Analysis method.
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