(SOLVED) The appraisal-based real estate index has a major problem of

Discipline: Finance

Type of Paper: Question-Answer

Academic Level: Undergrad. (yrs 1-2)

Paper Format: APA

Pages: 1 Words: 53

Question

The appraisal-based real estate index has a major problem of


a.

lagging the true value of the underlying real estate market

b.

ignoring transactions and relying only on discounted cash flow appraisals.

c.

using only comparable sales values which are stale.

d.

focusing too much on future values and ignoring historical trends.


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