certified-residential-appraiser Practice Test

1Single Choice

An appraiser is valuing a vacant residential lot that is located in a recorded plat that restricts homes to a minimum 1,500 square foot footprint and requires all dwellings to be setback a minimum of 30 feet from the front lot line. The client wants to know the 'highest and best use' of the site as though it were vacant. Which of the following is the MOST appropriate determination?

A.Legally permissible and physically possible, but not financially feasible to develop at this time due to soft market conditions.
B.Legally permissible, physically possible, and financially feasible for development of a single-family residence consistent with the plat restrictions.
C.Legally permissible only if the developer obtains a zoning variance, physically possible, and financially feasible.
D.Not legally permissible because the plat restrictions are too onerous to support market-rate construction.

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