In which field of the sales comparison grid would you find an indication of an arm's length sale?

Prepare for the Texas Real Estate Appraisal Exam. Test your knowledge with flashcards and multiple choice questions, all with hints and explanations. Pass with confidence!

An indication of an arm's length sale can be found in the field that pertains to sale or financing concessions. An arm's length transaction is one in which both buyer and seller act in their own self-interest, with neither party being under duress, which usually means there are no concessions that would influence the price unduly.

When analyzing a property's sales comparison grid, the sale or financing concessions field reveals whether any discounts, financial incentives, or special terms were provided during the transaction. If concessions are present, they might suggest the sale was not at arm's length, as they can indicate that one party had an advantage over the other, which could distort the market price. Therefore, identifying whether a sale was an arm's length transaction is best done by examining this specific field for any concessions that indicate atypical sale terms.

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