Certified Residential Appraiser Practice Exam

What is considered extra land that can be separated?

1. Wetlands

2. Surplus Land

3. Excess Land

4. Assemblage Area

The correct answer is: Excess Land

The concept of extra land that can be separated refers specifically to a situation where land can be identified as separate from the primary parcel and has the potential to be sold or developed independently. This is known as excess land. Excess land is defined as land that is not needed for the highest and best use of the property but is still usable for some purpose and can generate value separately from the main property. In the context of appraisal, recognizing excess land is important because it must be valued and considered when determining the overall value of a property. This is distinct from surplus land, which typically refers to land with no current utility or value in relation to the primary parcel or cannot be separated due to usage restrictions. Wetlands often involve environmental regulations that limit development, and assemblage areas refer to the consolidation of multiple parcels into one, which is not the same as identifying separate, usable land. Understanding the distinction and proper valuation of excess land is crucial for appraisers when determining property values and making informed recommendations for land use.