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The laws governing the tax appraisal process Washington
State are based upon the same principles and procedures that
are used throughout the appraisal profession. There are three
basic approaches to the valuation of real property:
| MARKET APPROACH involves comparison
of a property with the characteristics of similar properties
that have recently been sold. |
| COST APPROACH involves estimating
the replacement cost of a structure, and adjusting that
estimate to account for depreciation. |
| INCOME APPROACH is an analysis of
a property's value based on its capacity to generate
revenue for the owner. The appraiser may use all approaches
that apply to a particular property. |
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