What is the difference between 'unimproved value' and 'gross rental value' in WA property valuation?
Correct Answer
D) Unimproved value is land value alone; gross rental value is the likely annual rent
Unimproved value (UV) represents the value of the land alone, excluding any buildings or improvements. Gross rental value (GRV) is the estimated annual rental income the property could reasonably be expected to earn. Local governments in WA use either UV or GRV as the basis for calculating rates.
Why This Is the Correct Answer
Unimproved value is the value of the land alone, while gross rental value is the annual rent the whole property could reasonably earn.
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