Practice & MathQuestion 83 of 100
The appraisal approach that estimates value by comparing recently sold similar properties is the:
a.Cost approach
b.Sales comparison approach
c.Income approach
d.Gross rent multiplier approach
Explanation
The sales comparison approach estimates value by analyzing recent sales of comparable properties and adjusting for differences. It is the primary method for valuing single-family homes. It rests on the principle of substitution.
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