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Which of the following approaches serves as the basis for a brokers opinion of value?
A broker opinion of value, or a broker price opinion, is a value estimation made by a real estate broker on the basis of several factors, including the propertys condition, values of surrounding properties, and the market conditions in an area.
What is a brokers opinion of value?
Expert-Verified The true statement about Broker Price Opinions (BPOs) is that both BPOs and appraisals may be prepared by a real estate licensee. BPOs are estimates of property value that do not require appraiser certification.
What is the appraisers opinion of value?
A real estate opinion of value is an estimate of the price that a property would likely sell for on the open market. A real estate opinion of value may be requested for a variety of purposes, such as to determine the value of a property for insurance purposes, estate planning, or tax assessments.
What is true regarding a brokers opinion of value?
A brokers price opinion is often considered a personal opinion, not a representation of fact. So, it is a cost-effective way to determine value but cannot be relied on to get a loan.
How to create a broker opinion of value?
To fill out a Broker Price Opinion, the broker should collect relevant data about the property, including its physical condition, comparable property sales, and current market trends. This information is then compiled into a standardized report format that details the estimated value and supporting rationale.
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Which statement concerning broker price opinions is true?
The sales comparison approach, also known as the market data approach, is used for almost all properties. It also serves as the basis for a brokers opinion of value.
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