Regressivity in the context of property appraisal indicates what?

Regressivity in property appraisal specifically refers to the tendency for lower-value properties to be overvalued relative to higher-value properties. This phenomenon can occur due to various factors, including market dynamics, where properties in less desirable locations are assessed at higher values compared to more desirable ones, leading to a disproportionate impact on tax assessments and market perceptions.

When a property appraisal system exhibits regressivity, it may indicate that the valuation process does not adequately account for the true differences in value among various property types, often resulting in lower-value properties facing higher tax burdens in proportion to their market value. This contrasts with the process of accurately assessing all property values, where both lower and higher-value properties are evaluated fairly based on current market data and trends.

The other options do not capture the essence of regressivity effectively. Undervaluing mid-range properties does not directly relate to the concept of regressivity. Consistent valuation across all properties suggests uniformity and equality, which opposes the notion of regressivity. Lastly, an accurate assessment of market value does not align with the definition of regressivity, as that would imply fair and precise valuations rather than overvaluation of lower-value properties.