Humber/Ontario Real Estate Course 2 Exam Practice

What do the Appraisal Institute of Canada (AIC) guidelines specify for residential area measurements?

1. Are based on internal measurements only

2. Have recently become the standard across Ontario

3. Exclude main floor additions in single-storey homes

4. Apply to both one storey and one and one-half storey homes

5. Must include basement finished areas

6. Encourage detailed external measurements

The correct answer is: Apply to both one storey and one and one-half storey homes

The Appraisal Institute of Canada (AIC) guidelines specify for residential area measurements that they apply to both one storey and one and one-half storey homes. This means that the guidelines take into account the different types of residential properties and provide a standardized approach for measuring the area in these specific types of homes. Options A, B, C, E, and F are incorrect: A. The AIC guidelines do not specify that the residential area measurements are based on internal measurements only. This would exclude the consideration of external dimensions, which is important in determining the total area of a property. B. While the AIC guidelines are widely recognized and respected in Ontario, they have not recently become the standard across the province. They are considered best practices and may be adopted by various real estate professionals, but they are not a mandated standard throughout Ontario. C. The AIC guidelines do not exclude main floor additions in single-storey homes. These guidelines aim to provide a comprehensive approach to measuring residential areas, including any additions or modifications that have been made to the property. E. The AIC guidelines do not mandate that basement finished areas must be included in residential area measurements. Including basement areas in the total measurement may vary depending on the specific appraisal requirements or standards. F. While detailed external measurements may be beneficial for a thorough appraisal, the AIC guidelines do not specifically encourage detailed external measurements as a requirement for residential area measurements.