When valuing a rural property in SA, which of the following is a key factor that distinguishes it from suburban residential valuation?
Correct Answer
D) Soil quality, water entitlements, carrying capacity and productive improvements, on top of usual factors.
Rural valuation in SA adds agricultural factors to the usual ones: soil quality, water entitlements (licences and allocations now managed under the Landscape South Australia Act 2019), carrying capacity, fencing and other productive improvements, and access to markets and services.
Why This Is the Correct Answer
Rural valuation requires agricultural-specific factors: soil quality and type, water entitlements (managed under the Landscape South Australia Act 2019), livestock carrying capacity, productive improvements such as fencing, irrigation and sheds, and access to markets and services.
Why the Other Options Are Wrong
Deep Analysis of This Valuation Question
Background Knowledge for Valuation
Memory Technique
Exam Tip for Valuation
Real World Application in Valuation
Common Mistakes to Avoid on Valuation Questions
Related Topics & Key Terms
Key Terms:
More Valuation Questions
In applying the summation approach to value a heritage-listed property in Sydney, which additional factor must be specifically considered?
In Queensland, the statutory land valuation that councils use to levy rates is made by:
The comparable sales method of property valuation involves:
A Queensland property owner disagrees with the Valuer-General's valuation of their land. The owner may:
When valuing an income-producing property in Queensland using the capitalisation approach, a valuer primarily considers:
- → In Queensland, the 'highest and best use' principle in property valuation refers to:
- → A registered valuer in Queensland is valuing a specialised property such as a church with no comparable sales data available. The most appropriate primary valuation method would be:
- → A Comparative Market Analysis (CMA) prepared by a Queensland real estate agent differs from a formal valuation in that:
- → A developer in Queensland is considering purchasing a site for a residential subdivision. A valuer using the residual (hypothetical development) method would calculate the site's value by:
- → Which of the following factors would typically DECREASE the market value of a residential property in Queensland?
- → A Queensland seller asks an agent what her house is likely to sell for, and the agent decides to answer. What must he give her?
- → A Queensland agent recommends a reserve to a seller and must back it with a comparative market analysis. What should the CMA compare?
- → When conducting a property valuation in Queensland, what is the most critical consideration regarding comparable sales data?
- → What is the difference between 'site value' and 'capital value' as used by the Valuer-General in SA?
- → Which government body is responsible for land valuations used for council rating purposes in SA?
People Also Study
Property Law & Legislation
110 questions
Agency Practice & Law
138 questions
Contracts & Conveyancing
106 questions
Property Marketing & Sales
129 questions
Related Study Resources
Previous Question
When conducting a valuation of a residential investment property in Victoria, the capitalisation approach is applied. Which factor would most significantly reduce the capitalised value?
Next Question
When valuing an income-producing property in Queensland using the capitalisation approach, a valuer primarily considers: