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pg. 1 Texas Real Estate Appraisal -SAE Course Exam Newest 2025 Actual Exam Test Bank| Complete 275 Questions and Verified Answers (100% Correct) Texas SAE Real Estate Appraisal Course Exam 2025(Brand New!)
How does an appraiser determine site value when using the cost approach method? - ANSWER - By using the sales comparison method
When using the sales comparison approach to value, what might it mean if there's a large total adjustment needed for a comparable property? - ANSWER - The property may not be a reliable comparable for the subject property.
A lender requests an appraisal of a property under foreclosure. What type of value is the lender most likely to be interested in? - ANSWER - Liquidation value
When the land value is known, but the building value is unknown, the ______ technique can be used. - ANSWER - Building residual
If an appraiser using the sales comparison approach adjusts for a change in market value of 5% due to average property depreciation, what type of adjustment is the appraiser making? - ANSWER - Percentage adjustment
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pg. 2 What is a base line, as used in the rectangular government survey system? - ANSWER - An east-west line used as a reference point
Jillian is appraising a piece of property for an investor client. She knows the value of the buildings, but not the value of the land. Which appraisal technique should Jillian use? - ANSWER - Land Residual-When the value of the buildings is known, the land residual technique can be used to determine the land value and the amount of residual income the land earns.
Bekah put down $50,000 toward the purchase price, financed the rest, and now has a cash flow of $10,000 after repairs and debt service.What's her ROI? - ANSWER - 20%
What's the purpose of the Appraiser Independence Requirements? - ANSWER - To protect against fraudulent home valuations
Which organization issues the LEED certification? - ANSWER - The U.S. Green Building Council
How is the gross adjustment percentage calculated in the sales comparison approach? - ANSWER - Dividing the total dollar adjustment by the comparable's sale price.
When looking at a rectangular government survey system map, where would Section 36 be located? - ANSWER - The southeastern-most section of the township 2 / 4
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pg. 3 Which measure of time, with regard to depreciation, is the period of time beginning from the date of the appraisal and extending for as long as the property can remain useful for its original purpose? - ANSWER - Remaining economic life-This is the definition of remaining economic life. In terms of an appraisal, a property's remaining economic life is the most important of the four measures of time.
Related to the legal test of a fixture, in the acronym MARIA, what do the two As stand for? - ANSWER - Adaptability of item to land's use and agreement of the parties
To determine the estimated reproduction cost of a subject building using the index method, the appraiser takes the index factor and multiples it by the ______. - ANSWER - Original construction cost
Rhonda's looking at a structure and trying to determine how much longer the building can be expected to remain standing. What's Rhonda measuring? - ANSWER - Physical life
Which type of REITs specialize in owning certain building types, such as apartments or office buildings? - ANSWER - Equity REITs
Your clients are interested in purchasing a piece of land that has several acres of wetlands. Because of this, ______. - ANSWER - The site comes with added regulatory baggage and potential costs
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pg. 4 What is the formula used with the cost approach to appraisal? - ANSWER - Reproduction/replacement cost - accrued depreciation + site value = property value
The second step of the appraisal process that a qualified appraiser will use is to _______. - ANSWER - Identify data needed
Which of the following statements about a license is true? - ANSWER - Licenses may be revoked by the owner at any time, unless a termination date has been specified by contractual agreement
The _______ category of appraiser licensure requires a minimum of 1,500 hours of applicable experience. - ANSWER - Certified residential real property appraiser
Which of the four methods used to measure depreciation is the easiest? - ANSWER - Age-life
Houses should be built a minimum of ______ feet away from existing, mature trees. - ANSWER - 20
When the sales comparison method is used for appraising a site, if the comparable property has positive characteristics that the subject property does not, which of the following is true? - ANSWER - The sales price of the comparable property is decreased.
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