Certified Residential Appraiser Practice Exam

What is typically a characteristic of Special Use Properties?

1. They are always residential

2. They require special zoning or restrictions

3. They can be used for commercial purposes

4. They always have a higher market value

The correct answer is: They require special zoning or restrictions

Special Use Properties are defined by their unique characteristics that set them apart from standard properties. One of the most significant aspects of these properties is that they require special zoning or restrictions. This means they do not fit neatly into the standard categories of both residential and commercial properties and often have specific regulations governing their use. For example, a property designated as a religious institution, school, or hospital may have zoning designations that limit how it can be used compared to typical residential or commercial properties. These special zoning requirements are intended to address the unique needs and impacts of these properties on the surrounding area. Such controls can ensure that the property serves its intended purpose while mitigating potential negative effects on the community, such as increased traffic or noise. In contrast, the other options do not accurately capture the defining characteristics of Special Use Properties. While some Special Use Properties might be residential or can have commercial elements, they are not exclusively one or the other. The potential for a higher market value can vary significantly and isn’t a defining characteristic, as the value heavily depends on various factors, including location, demand, and overall real estate market conditions.