Two appraisers reach different value opinions on the same property with the same effective date. What does this show?
Correct Answer
B) Judgment differs even on identical evidence
Why this is correct: Appraisal involves professional judgment in selecting comparables, deriving adjustments, and weighting data. Two competent appraisers can legitimately arrive at different, yet credible, value opinions based on the same evidence and date. Why the other choices are wrong: "One of the two appraisers must have erred" assumes only one correct answer, which is false. "The property has two simultaneous market values" is incorrect; market value is an estimate, not a fixed number. "The later opinion supersedes the earlier one" is not true if both have the same effective date. Exam tip: Value is an opinion, not a fact; reasonable differences occur.
Why This Is the Correct Answer
Why this is correct: Appraisal involves professional judgment in selecting comparables, deriving adjustments, and weighting data. Two competent appraisers can legitimately arrive at different, yet credible, value opinions based on the same evidence and date. Why the other choices are wrong: "One of the two appraisers must have erred" assumes only one correct answer, which is false. "The property has two simultaneous market values" is incorrect; market value is an estimate, not a fixed number. "The later opinion supersedes the earlier one" is not true if both have the same effective date. Exam tip: Value is an opinion, not a fact; reasonable differences occur.
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