McKissock Basic Appraisal Principles Practice Test

These questions are part of the practice quiz. Start practicing

• What is the difference between a net lease and a gross lease?
• Under current criteria, how many creditable class hours must an Appraiser Trainee complete?
• Which entity maintains a national registry of state certified and licensed appraisers who are eligible to perform appraisals in federally related transactions?
• The market data approach is primarily based on?
• Which statement describes the right of survivorship in a joint tenancy?
• What is the difference between a general warranty deed and a special warranty deed?
• Property Owner A has the right to develop his property into 10 lots. He sells this right to nearby Property Owner B who wishes to develop his property into additional lots. This is an example of
• REIT stands for Real Estate Investment Trust.
• What does ASC stand for in the context of real estate appraisal regulation?
• At what stage should the highest and best use be determined?
• Which contract term describes a contract that has been fully performed?
• Which system of legal description relies on measurements of distance and direction from a point of beginning?
• USPAP stands for which of the following?
• Which factors determine whether an item is a fixture?
• How does a life estate differ from a fee simple?
• What is the difference between ethics and competency under USPAP?
• Which party typically conducts an appraisal?
• Under current qualifying education criteria, college-level course requirements apply to which classifications?
• Which of the following is a step in the USPAP appraisal process?
• The Conduct Section of the ETHICS RULE states, in part, that an appraiser must perform assignments with which characteristics?
• Tenancy in severalty means ownership by a single owner.
• What is the general rule for contracts with minors?
• Which of the following would be considered a private restriction on property rights?
• The organization abbreviated as ASC stands for which entity?
• What is the required appraisal education hours for Certified General Appraiser applicants?
• Which statement correctly distinguishes reproduction cost from replacement cost?
• What term describes a corporation or trust that pools capital from many investors to acquire real estate, functioning like a mutual fund for real estate?
• Which of the following represents the three types of depreciation used in appraisal?
• Which is NOT a characteristic of tenancy in common?
• All of the following could be participants in a real property market EXCEPT
• Which statement correctly distinguishes tenancy in common from joint tenancy?
• Which statement correctly distinguishes an appurtenant easement from an easement in gross?
• In a market with a demand for 500 houses per year and 1,500 houses for sale, this most likely indicates a supply of what?
• Which deed is the strongest form?
• Which item is not included in net operating income (NOI) calculations?
• The market defined as the interaction of buyers and sellers who trade long-term or intermediate-term money instruments is the ___ market.
• Twenty years ago, most appraisal reports that were sent electronically were sent using _____ technology; today, most appraisals are sent electronically using a _______ format.
• How many feet are in 3 rods?
• USPAP stands for?
• What describes a fee simple estate?
• Actual age versus effective age: which statement is true?
• Which statement about price, cost, and value is true?
• Which method of legal description describes property by its physical boundaries and monuments?
• Police power would include which of the following?
• In tenancy in common, co-owners may hold fractional interests that are
• USPAP defines which term as the amount asked, offered, or paid for a property?
• In appraisal terms, how do market analysis and marketability analysis differ?
• The primary operators in the secondary mortgage market include all of the following EXCEPT
• Reporting requirements for real property appraisers fall under which USPAP standard?
• Real estate includes all of the following EXCEPT
• The party who engages an appraiser in a specific assignment is called the ______.
• Which of these would be considered a public restriction on real property ownership?
• Which term denotes the analysis of market conditions for a specific property type in a specific area?
• Which description best defines external obsolescence?
• In GRM analysis, which factor directly drives the estimated value?
• What is the purpose of capitalization in value estimation?
• Which of the following is an example of a private restriction on property rights?
• What is a lien?
• In appraisal terminology, which market involves long-term or intermediate-term money instruments?
• Which organization maintains the national registry of appraisers eligible to perform federally related appraisals?
• A contract that has not been fully performed is called what?
• Highest and best use includes which criteria?
• The appraisal standards and qualification criteria promulgated by the boards of The Appraisal Foundation gain legal authority by adoption or implementation by what?
• A rancher owns six full sections plus three quarter sections. How many acres is that?
• The government survey system is a grid-based system using which units?
• Sonic measuring devices employ _____________ to take measurements.
• Which entity publishes Advisory Opinions and USPAP FAQs?
• The current number of appraisal education hours required for Certified Residential Appraiser applicants is ______ hours.
• All of the following could lead to a non-arm's-length transaction EXCEPT which?
• What is the term for trespassing on the domain of another?
• Which ownership interest includes the right to receive rent and the reversion after lease expiration?
• In an LTV calculation, what is used in the denominator?
• In a trust deed state, title to a property is vested in the __________ until the mortgage lien is satisfied.
• The ETHICS RULE of USPAP is the ________ of five Rules in USPAP.
• The ______ maintains a National Registry of appraisers.
• A facade easement is a type of which easement?
• Low interest rates encourage which behavior, and high interest rates encourage which opposite behavior?
• Which statement about a fee simple estate is NOT true?
• Which of the following are requirements of a valid real estate contract?
• Emblements are considered personal property of which party?
• The right to construct and maintain tunnels, subways, subcellars, pipelines, sewers, etc. is the definition of _________ rights.
• What is title insurance?
• Which term describes the right to transfer development rights from one parcel to another for increased density?
• The primary purpose of USPAP is to protect which of the following?
• Functional utility refers to what?
• The four agents of production are land, ________, capital, and _____________.
• When estimating the value of a fireplace in a single-family home, the most important principle is the principle of ______.
• Which entity is NOT directly involved in fair lending by federal financial institutions regulatory agencies?
• What is an encumbrance on real estate?
• Who has the option to void a contract with a minor?
• An appraisal is defined as the act or process of developing an ________ of ________.
• The Appraisal Standards Board's primary function regarding USPAP is
• Emblements are considered which type of property?
• In the 1970s, who developed uniform rules for mortgage underwriting?
• In property measurement, a furlong or 10 chains equals how many feet?
• What four unities are required for a joint tenancy?
• What is economic life?
• Today, which format is commonly used for electronic submissions of appraisal documents?
• What distinguishes an appraisal from a broker's price opinion (CMA)?
• Which organization publishes appraisal standards used nationally?
• Which statement best describes highest and best use?
• Functional utility factors include architectural style, design and layout, traffic patterns, and what?
• Which of these would be considered a public restriction on real property ownership?
• A gathering of people for the buying and selling of things is the definition of which term?
• In modern appraisal terminology, the word appraisal replaces the term 'estimate' with which word?
• In property measurement, a chain contains 100 links. How many feet does one chain measure?
• In NOI calculations, what is the vacancy allowance?
• If net operating income remains the same and the cap rate increases, what happens to value?
• The principle that a nearby development can affect the value of a property even if the owner does not participate is called?
• What is a leasehold estate?
• The right held by the lessee to use and occupy real estate for a stated term and under the conditions specified in the lease is known as what?
• What is nonconforming use?
• USPAP performance standards apply to appraisal of which categories of property?
• Which statement best describes the Appraisal Qualifications Board's role?
• Which organization is most directly associated with USPAP oversight?
• What is a special assessment lien?
• The real property market is generally classified as a(n) __________ market.
• How is the loan-to-value (LTV) ratio calculated?
• The oldest system of legal descriptions for real estate is:
• Which statement about tenancy in common is correct?
• Electronic Data Interchange for transmitting appraisal reports became popular in the which timeframe?
• Which type of investments has historically generated the highest return on investment?
• The current number of appraisal education hours required for Licensed Residential Appraiser applicants is ______ hours.
• Which body is responsible for establishing criteria for individuals to become real property appraisers?
• Which form of co-ownership allows two or more people to hold title with equal rights of possession, not necessarily equal interests?
• When comparing printers, which cost metric should you compare?
• Name the three approaches to value used in appraisal.
• Real estate includes all of the following EXCEPT
• Under USPAP, which factor would result in a violation if the appraiser based the appraisal fee on it?
• Which statement about joint tenancy is true?
• Who retains final authority over revisions to USPAP?
• Which deed provides the strongest warranty of title?
• A market analysis examines which of the following?
• Supply and demand move in what type of relationship?
• A neighborhood characterized by homogeneous land use is called a district.
• The scenario of selling development rights from one property to another illustrates which concept?
• A mortgage in which the interest rate may move up or down, following a specified schedule or index, is called an ______ mortgage.
• Which statement describes the regression principle?
• What distinguishes real property from personal property?
• Which entity has oversight authority over state appraisal boards?
• What unit of length equals 66 feet?
• In the market data approach, what are the comparable properties commonly called?
• How many feet are in 2 chains?
• The four components of the Appraiser Qualification Criteria are:
• What is the purpose of reconciliation in an appraisal?
• Which of the following is NOT a government regulatory agency?
• In an appraisal assignment, the party who engages the appraiser is the ______.
• EDI for transmitting appraisal reports became popular in the
• Which of the following is NOT one of the four agents of production?
• Which of the following is not considered a standard depreciation type in the cost approach?
• Which statement describes easement by necessity?
• What is functional obsolescence?
• What does paired data analysis involve in appraisal?
• Which statement describes an easement in gross?
• What is confidentiality in USPAP?
• An analysis of the market conditions of supply, demand, and pricing for a specific property type in a specific area is the definition of which term?
• What statement best describes the primary purpose of the cost approach in real estate valuation?
• Appraisal standards published by The Appraisal Foundation gain legal authority through adoption, citation or implementation by government agencies with the power to regulate or administrate.
• In a cooperative, what document grants the shareholder the right to occupy a specific apartment?
• What term describes the tenant's interest created by a lease?
• If net operating income is 120,000 and the cap rate is 6%, what is the estimated value?
• The website with the largest amount of demographics information is?
• Which statement best describes the regression principle?
• What is the purpose of a state's statute of frauds?
• An encroachment is best described as?
• Which formula defines the gross rent multiplier (GRM) method of estimating value?
• The fear that construction of a factory nearby will decrease the value of a property illustrates which principle?
• Which organization is primarily responsible for developing and maintaining USPAP?
• Which item is not a typical part of the appraisal process?
• In the cost approach, reproduction cost is typically used for which type of property?
• Subsurface rights include the right to construct and maintain tunnels.
• The Management Section of the ETHICS RULE states, in part, that an appraiser must ________ that he or she paid a fee or commission, or gave a thing of value in connection with the procurement of an assignment.
• A metes and bounds description uses which elements to describe a parcel?
• What term describes the landlord's future interest after a lease term expires?
• What happens to a life estate when it ends?
• The Appraisal Foundation is a ____ organization.
• Which four government rights are acknowledged in property?
• Which statement best describes the substitution principle?
• A lot-and-block (platted) legal description is based on
• Name two fundamental economic principles underlying appraisal.
• Which statement describes the vacancy allowance in NOI?
• How is value derived from net operating income and the cap rate?
• Which statement distinguishes tenancy in common from joint tenancy?
• Which item would you NOT expect to find in analyzing a typical real estate purchase contract?
• Which valuation approach relies most heavily on the principle of substitution?
• What type of ownership uses shares of stock in a corporation that provides a proprietary lease to occupy an apartment unit?
• In USPAP, which step involves weighing the results from multiple approaches to arrive at a final value?
• In an appraisal assignment, which statement best describes scope of work?
• What are the steps in the sales comparison approach?
• How is the Appraisal Subcommittee funded?
• In the sales comparison approach, what is the step after adjustments have been analyzed?
• Which description best fits an imperfect market in real property?
• Which of the following is not one of the four elements of value?
• Which categories are included in USPAP performance standards for appraisal?
• A business arrangement in which two or more persons jointly own a business and share in its profits and losses
• Escheat refers to?
• Under the government survey system, land is described using which units?
• A marketability analysis examines which of the following?
• The ______ publishes 'other communications' in the form of Advisory Opinions and USPAP FAQs.
• Which pair correctly completes the statement: The four elements of value are desire, ________, scarcity, and ________?
• How is net operating income (NOI) defined?
• Which of the following is NOT a component of the Appraiser Qualification Criteria?
• What is plottage value?
• In property measurement, 1 rod or 25 links measures how many feet?
• The principle of supply and demand states that the price varies ______ with demand, but not necessarily _________, with demand.
• Which statement describes an easement in gross?
• Escheat is best described as which of the following?