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- Principle of ProgressionThe principle of progression holds that the worth of an inferior property is increased by its proximity to better properties of the same use class.
- Principle of SubstitutionThe principle of substitution states that no buyer will pay more for a good than he or she would have to pay to acquire an acceptable substitute of equal utility in an equivalent amount of time.
- ProgressivitySee assessment progressivity (regressivity).
- Property(1) An aggregate of things or rights to things. These rights are protected by law. There are two basic types of property: real and personal. (2) The legal interest of an owner in a parcel or thing (see bundle of rights).
- Property Residual TechniqueA technique used to estimate the value of a property from a knowledge of its net operating income, discount rate, remaining economic life, the amount of the reversion, and the income path attributable to the property over the holding period (generally the remaining economic life of the property). The technique estimates total value by discounting anticipated income and adding the result to the present worth of the reversion.
- Property RightsSee bundle of rights.
- Property Tax BaseSee assessment base.
- Property Tax PolicyAny purposeful course of action by governmental bodies that affects or determines the way property taxes are created, levied, collected, or spent. Property tax policy issues can include determining the division of responsibility between local and state/provincial governments, equalization, appeals, public relations, reappraisal systems, the market value standard, exemptions and abatements, fractional assessments (ratios), and limits on taxes and assessed values.
- Property TaxesSee tax, general property; tax, property; tax, special property.
- Property Use CategoryA United States Census Bureau classification scheme based on actual utilization of real property. There are seven classes of real property: Acreage (or "Acreage and Farms") - Includes farms, timberland, recreational acreage, idle land, and waste land in rural locations. Excludes vacant platted lots that lie within or adjacent to a municipality and that usually carry a lot/block system designation rather than acreage. Separately assessed timber or mineral rights are omitted from this category. Commercial Property - Generally any nonindustrial, nonresidential realty of a commercial(...)
- Proposition 13 StatesStates where the tax assessment value is based on the acquisition price rather than the property’s current market value. Tax assessment models do not work in these states.
Sources:
a) AVMetrics
b) AVMs 201: A Practical Guide to the Implementation of Automated Valuation Models, Jim Kirchmeyer, 2008.
c) IAAO 2015, Glossary for Property Appraisal and Assessment, 2015. (2013 online: https://www.iaao.org/media/Pubs/IAAO_GLOSSARY.pdf )
d) Collateral Assessment & Technologies Committee, Summary of Definitions & Terms, 2006.
e) Joint Industry Task Force on AVMs, IAAO Standard on AVM Glossary, September 2003. https://www.iaao.org/media/standards/AVM_STANDARD.pdf
f) Appraisal Institute, Joint Industry Task Force on Automated Valuation Models, Work Group Terminology, 2005.
g) Merriam-Webster (https://www.merriam-webster.com/)