Question: SELECT ALL THAT ARE FALSE A -Two comps. One comp is 3 times as important as the other comp in determining subject property's value. And
SELECT ALL THAT ARE FALSE
A -Two comps. One comp is 3 times as important as the other comp in determining subject property's value. And so, when calculating their average cap rate, their respective weights should be 0.67 and 0.33.
B - Two comps. Operating & other expenses as percentage of gross income are 75% for both comps. This means that between the GIM technique and the cap rate technique, you get an accurate subject property value if you use the GIM technique.
C - In the times of a real estate cycle when building prices are declining, the cap rates are rising.
D - Loan amount is nothing but the sum of all future debt services & the loan balance.
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