California Real Estate Practice Exam

Which appraisal method is considered the most detailed and accurate?

1. Quantity survey

2. Unit of cubic foot method

3. Unit of square foot method

4. Unit cost in place

The correct answer is: Quantity survey

The quantity survey method is recognized as the most detailed and accurate appraisal method due to its comprehensive approach to estimating property value. This method involves an exhaustive breakdown of all construction costs involved in a property, including labor, materials, and overhead, as well as indirect costs like permits and design. By accumulating this detailed data, the quantity survey method can provide a precise valuation based on the specific features and requirements of a property. In contrast, the other methods are typically less detailed and may rely on generalized or averaged costs rather than an in-depth analysis. For example, the unit of cubic foot method and the unit of square foot method abstract the valuation process to simpler calculations based on the dimensions of the property, which can overlook significant factors that influence value. The unit cost in place method also simplifies aspects of valuation to measurable units rather than the comprehensive line-item approach used in the quantity survey method. Thus, the depth and thoroughness of the quantity survey method stands out as superior for accurate property appraisals.