What is an example of a governmental regulation that affects property appraisal?

Zoning laws that restrict property use are a crucial example of a governmental regulation affecting property appraisal. These laws are established by local governments to designate specific land uses, which can include residential, commercial, industrial, or mixed-use classifications. By controlling what can be built or modified on a property, zoning laws directly influence the value and potential uses of that property. For appraisers, understanding zoning regulations is essential because they can affect marketability, development potential, and ultimately, the assessed value of the property.

Other options provided relate to different aspects of property management and financing. Neighborhood association rules govern community standards but do not have the same legal standing as zoning laws. National holidays impacting market activity pertain more to economic conditions than regulatory frameworks. Lastly, private lender requirements for loans are essential for financing but do not constitute governmental regulations affecting property appraisal, as they come from private entities rather than public sector laws.