Study your flashcards anywhere!

Download the official Cram app for free >

  • Shuffle
    Toggle On
    Toggle Off
  • Alphabetize
    Toggle On
    Toggle Off
  • Front First
    Toggle On
    Toggle Off
  • Both Sides
    Toggle On
    Toggle Off
  • Read
    Toggle On
    Toggle Off
Reading...
Front

How to study your flashcards.

Right/Left arrow keys: Navigate between flashcards.right arrow keyleft arrow key

Up/Down arrow keys: Flip the card between the front and back.down keyup key

H key: Show hint (3rd side).h key

A key: Read text to speech.a key

image

Play button

image

Play button

image

Progress

1/30

Click to flip

30 Cards in this Set

  • Front
  • Back
WHAT IS MARKET VALUE ?
MARKET VALUE IS THE EXPECTED PRICE IN AN ARM'S LENGTH TRANSACTION.
TRANSACTIONS THAT ARE NOT ARM'S LENGTH IS CONSIDERED?
DISTORTED.
WHAT IS INEVESTMENT VALUE ?
INVESTMENT VALUE IS THE SPECIFIC VALUE OF AN INVESTMENT BASED ON THE SPECIFIC NEEDS OF A PARTICULAR INVESTOR.
WHAT IS USE VALUE ?

(VALUE IN USE )
VALUE IN USE IS THE OWNER-USER BASED VALUE OF A SPECIAL PURPOSE PROPERTY SUCH AS A HOSPITAL.
(COST APPROACH IS THE EFFECTIVE METHOD)
WHAT IS ASSESSED VALUE ?
ASSESSED VALUE IS THE VALUE ESTABLISHED FOR AD VALOREM TAX PURPOSES.
WHAT IS INSURABLE VALUE ?
INSURABLE VALUE IS THE PORTION OF ASSET VALUE RECOGNIZED UNDER THE PROVISIONS OF A LOSS INSURANCE POLICY.
WHAT IS GOING CONCERN VALUE ?
GOING CONCERN VALUE IS THE VALUE OF A BUSINESS CONSIDERED SEPERATE FROM THE REAL ESTATE.
WHAT IS LIQUIDATION VALUE ?
LIQUIDATION VALUE IS THE VALUE BASED ON A QUICK SALE OR LESS THAN ADEQUATE EXPOSURE ON THE OPEN MARKET.
WHAT ARE THE 12 ECONOMIC PRINCIPLES ?
ABSORPTION, ANTICIPATION, BALANCE, CONFORMITY, COMPETITION, CONSISTENT USE,CONTRIBUTION, OPPORTUNITY COST, SUPPY AND DEMAND, SURPLUS PRODUCTIVITY, AND UTILITY.
WHAT IS ABSORPTION ?
ABSORPTION IS THE RATE AT WHICH A PARTICULAR TYPE OF PROPERTY WILL BE SOLD OR LEASED EACH YEAR.
WHAT IS ANTICIPATION ?
VALUE TODAY IS CREATED BY THE ANTICIPATION OF BENEFITS TO BE DERIVED IN THE FUTURE.
WHAT IS BALANCE ?
BALANCE FEATURES A REASONABLE DEGREE OF SIMILARITY IN ARCHITECTURE, VALUE, INFLUENCE OF POLLUTION AND SERVICES AVAILABLE.
WHAT IS CONFORMITY ?
CONFORMITY EXISTS WHEN A PROPERTY IS NEITHER OVER-IMPROVED NOR UNDER-IMPROVED IN RELATIONSHIP TO ITS SURROUNDING.
WHAT IS PRINCIPLE OF REGRESSION ? (CONFORMITY)
PRINCIPLE OF REGRESSION STATES THAT THE VALUE OF AN OVER-IMPROVED PROPERTY DECLINES TOWARDS ITS SURROUNDINGS.
WHAT IS THE PRINCIPLE OF PROGRESSION ? (CONFORMITY)
PRINCIPLE OF PROGRESSION STATES THAT THE VALUE OF AN UNDER-IMPROVED PROPERTY INCREASES TOWARDS ITS SURROUNDINGS.
WHAT IS COMPETITION ?
COMPETITION IS THE ACTIVE DEMAND BY TWO OR MORE MARKET PARTICIPANTS FOR AN ITEM IN SHORT SUPPLY. INCREASED COMPETITION TENDS TO REDUCE EXCESS PROFITS.
WHAT IS CONSISTENT USE ?
CONSISTENT USE MEANS THAT IMPROVED LAND MUST BE VALUED FOR THE SAME USE AS ITS EXISTING IMPROVEMENTS.
WHAT IS CONTRIBUTION ?
THE VALUE OF A PARTICULAR COMPONENT IS MEASURED IN TERMS OF ITS CONTRIBUTION TO THE VALUE OF THE WHOLE PROPERTY. CONTRIBUTION IS ALSO REFERRED TO AS INCREASING OR DECREASING RETURNS.
WHAT IS OPPURTUNITY COST ?
OPPURTUNITY COST IS THE COST OF PASSING UP AN OPPORTUNITY OR THE COST OF OPTIONS FORGONE.
WHAT IS SUBSTITUTION ?
IF SEVERAL SIMILAR PROPERTIES ARE AVAILABLE, THE LOWEST PRICED WILL ATTRACT THE GREATEST DEMAND.
WHAT IS SUPPLY AND DEMAND ?
PRICES VARY DIRECTLY WITH DEMAND AND INVERSLY WITH SUPPLY.
WHAT IS SURPLUS PRODUCTIVITY ?
SURPLUS PRODUCITIVTY IS THE NET INCOME THAT REMAINS AFTER THE COST OF LABOR, CAPITAL, AND COORDINATION HAVE BEEN PAID.
WHAT IS UTILITY ?
UTILITY IS A MEASURE OF USEFULNESS OF A PROPERTY.
WHAT ARE THE 4 MAJOR FACTORS THAT INFLUENCE VALUE ?
SOCIAL FORCES, ECONOMIC FORCES OR CONDITIONS, GOVERNMENT FORCES OR CONTROLS, AND ENVIROMENTAL OR GEOGRAPHIC CONDITIONS.
WHAT ARE SOCIAL FORCES ?
SOCIAL FORCES ARE THE DEMOGRAPHICS. POPULATION, RATE OF FAMILY FORMATIONS/DISSOLUTIONS.
WHAT ARE ECONOMIC FORCES ?
ECONOMIC FORCES ARE FACTORS THAT AFFECT PURCHASING POWER. WAGE LEVELS, ECONOMIC BASE, AVAILABILITY OF CREDIT.
WHAT ARE GOVERNMENT FORCES ?
GOVERNMENT FORCES INVOLVE POLITICAL INFLUENCE ON THE MARKET. TAXES, PUBLIC SERVICES,LAWS.
WHAT ARE ENVIROMENTAL CONDITIONS ?
ENVIROMENTAL CONDITIONS ARE GEOGRAPHIC OF PHYSICAL FACTORS THAT AFFECT THE DESIRABILITY OF A PROPERTY OR COMMUNITY. WEATHER, VIEW, LOCATION, TOPOGRAPHY.
WHAT IS MONEY MARKET ?
MONEY MARKET ARE INVESTMENTS IN SHORT-TERM FINIANCIAL INSTRUMENTS. TREASURY BILLS/NOTES, CERTIFICATES OF DEPOSIT, GOVERNMENT SECURITIES.
WHAT IS CAPITAL MARKET ?
CAPITAL MARKET ARE INVESTMENTS IN SHORT-TERM FINANCIAL INSTRUMENTS. LAND CONTRACTS, STOCKS AND BONDS, MORTGAGES.