In which assignment does the sales comparison approach carry the least weight?
Correct Answer
C) A special-use church with no sales of similar properties
Why this is correct: The sales comparison approach relies on the availability of recent, similar sales. For a special-use property like a church with no sales of similar properties, there are no true comparables, so this approach yields little to no reliable evidence and receives minimal weight in reconciliation. Why the other choices are wrong: A tract home with model-match sales is the ideal scenario for heavy reliance on the sales comparison approach. A condominium in an active building also provides strong comparable sales. A starter home in a busy market typically has ample comparable data. Exam tip: No comparables = weak sales comparison. Think: "What is the best approach for this property type?"
Why This Is the Correct Answer
Why this is correct: The sales comparison approach relies on the availability of recent, similar sales. For a special-use property like a church with no sales of similar properties, there are no true comparables, so this approach yields little to no reliable evidence and receives minimal weight in reconciliation. Why the other choices are wrong: A tract home with model-match sales is the ideal scenario for heavy reliance on the sales comparison approach. A condominium in an active building also provides strong comparable sales. A starter home in a busy market typically has ample comparable data. Exam tip: No comparables = weak sales comparison. Think: "What is the best approach for this property type?"
More Sales Comparison Questions
Excess land differs from surplus land in that excess land:
A paired sales analysis reveals that homes with stainless-steel appliances sell for $2,100 more than identical homes with standard appliances — but only when the homes are priced below $350,000. In the subject’s neighborhood, median sale price is $410,000. What is the appraiser’s obligation regarding the $2,100 appliance adjustment?
GLA differs by 210 sq ft between subject and comparable. Paired sales support $65 per sq ft of living area. The line adjustment is:
Paired sales are drawn from transactions six months apart in a stable market. The time adjustment needed is:
The most appropriate unit of comparison is determined by:
A comparable superior to the subject in every adjusted category should produce an indication that is:
Three sales support $520,000; the borrower's purchase contract is $505,000. May the appraisal conclude above the contract price?
A comparable sold for $300,000 with the seller carrying a loan 2 points below market, a benefit worth $8,000. What is its cash-equivalent price?
Why is a foreclosure sale generally a poor comparable in a stable market?
A comparable sold 8 months ago for $250,000 in a market appreciating 6% per year. What is the time-adjusted price?
People Also Study
Real Estate Market
13.6% of exam
Property Description
11.8% of exam
Land or Site Valuation
4.5% of exam
Cost Approach
13.6% of exam
Income Approach
8.2% of exam