Which item is not found on the market conditions addendum that accompanies an appraisal?

Which item is not found on the market conditions addendum that accompanies an appraisal?

• A. Foreclosures
• B. Seller concessions
• C. Inventory
• D. Description of improvements

Answer: (D)

Market conditions addendum focuses on data that reflect what’s happening in the local real estate market and how that can affect value. It includes items like foreclosures and other distress activity, and it captures inventory levels (how many homes are actively listed and the months of supply). It may also note typical seller concessions that buyers might encounter in the market. These elements describe market dynamics, not the physical state of the subject property. The description of improvements, by contrast, covers the property's actual physical features and any upgrades or additions. That kind of information belongs in the property description portion of the appraisal, not in the market conditions addendum. So the item not found on the market conditions addendum is the description of improvements.

Market conditions addendum focuses on data that reflect what’s happening in the local real estate market and how that can affect value. It includes items like foreclosures and other distress activity, and it captures inventory levels (how many homes are actively listed and the months of supply). It may also note typical seller concessions that buyers might encounter in the market. These elements describe market dynamics, not the physical state of the subject property.

The description of improvements, by contrast, covers the property's actual physical features and any upgrades or additions. That kind of information belongs in the property description portion of the appraisal, not in the market conditions addendum. So the item not found on the market conditions addendum is the description of improvements.