What must be in balance for a property to reflect its optimum market value according to a major principle in appraisal?

For a property to reflect its optimum market value, it is essential that the property and its environment are in balance. This principle emphasizes that a property's value is significantly influenced by its surroundings, which include location, neighborhood traits, and access to amenities or resources. When the property aligns well with its environment—such as being situated in a desirable area, having compatible land use, and benefiting from good infrastructure—its market value is likely to maximize.

Other considerations, like price and desirability or appearance and condition, can affect market value, but they do not inherently combine the broader context of how a property interacts with its environment and community. For example, a well-maintained home may still be undervalued if it is located in a declining neighborhood. Similarly, while time and location are important in understanding market dynamics, the fundamental balance between a property and its environmental context is critical for determining its ultimate market value. The interaction creates a market perception that is crucial for buyers and impacts their willingness to pay.