Standards Rule 1-5 requires analysis of the subject's:
Correct Answer
A) Prior sales within the required look-back and any current agreement
Why this is correct: Standards Rule 1-5 requires the appraiser to analyze all prior sales of the subject property within a specified period (typically 1-3 years) and any current sale agreements. This history provides direct evidence of the subject's market activity. Why the other choices are wrong: "Insurance claims history over the past decade" is wrong; this is not required by SR 1-5. "Utility consumption figures covering the previous twelve months" is wrong; this is operational data, not a transaction history requirement. "Assessed value trend over the last five years" is wrong; while assessed values may be analyzed, SR 1-5 specifically mandates analysis of prior sales and agreements. Exam tip: SR 1-5 is about the subject's own transaction history, not general market data.
Why This Is the Correct Answer
Why this is correct: Standards Rule 1-5 requires the appraiser to analyze all prior sales of the subject property within a specified period (typically 1-3 years) and any current sale agreements. This history provides direct evidence of the subject's market activity. Why the other choices are wrong: "Insurance claims history over the past decade" is wrong; this is not required by SR 1-5. "Utility consumption figures covering the previous twelve months" is wrong; this is operational data, not a transaction history requirement. "Assessed value trend over the last five years" is wrong; while assessed values may be analyzed, SR 1-5 specifically mandates analysis of prior sales and agreements. Exam tip: SR 1-5 is about the subject's own transaction history, not general market data.
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