Agents, investors, property owners and anyone riding on the results of an appraisal want the value to come out the way they expect, and the way they think it should, but is that how high-risk financing decisions should be made? Who is most qualified to evaluate a subject property and select the best comps based […]
The difference between construction cost and value is a central question in any appraisal assignment. Appraisers use several processes to estimate value. One of these is the cost approach, which takes into consideration the actual cost of building a structure similar or identical to the one under study. But other approaches to value often do
Appraisers have nearly unlimited possibilities in how they report the results of appraisal assignments. These choices could be oral appraisal reports, written appraisal reports, limited written appraisal reports, or many standardized report forms. The appropriate appraisal report format is determined by the appraiser and the client, considering the appraisal’s intended use and specific requirements of
Most improved real properties and many vacant tracts can only be sold subject to existing easements. Appraisers identify existing easements and consider their effect on value whenever a market value definition is part of an assignment. Easements and rights-of-way often influence how real property can be used and may even affect a property’s ownership cost.
The appraisal process includes the income approach to estimate the value of a property that an investor would ideally purchase for its annual income. The income approach assumes a relationship between a property’s average net income and the price an average investor would pay for the property. The first step to defining that relationship is
Suppose you paid for an appraisal when you refinanced your property a couple of years ago. Now, your real estate taxes have taken a big jump. The question then becomes, can you use that previous appraisal to apply for a tax abatement? Or, perhaps, you work for a financial institution that is reviewing a property
The Market Analysis section in an appraisal report contains precious information that directly influences the value of a property and also provides priceless insight into a myriad of data relating to the financial feasibility of a property. It is common for many prospective users of an appraisal report to ignore various sections of the report
Probate transactions carry with them a special responsibility to conduct thoughtfully and diligently. Both the families and professionals involved in the probate process deserve respect and genuine care. Here we’ll talk about some of the things to think about in handling probate cases for real estate professionals and others involved in the process. New rules
Got your home on the market (or thinking about it)? There’s a good chance that you’ll be opening escrow this fall. When that happens, you know you’ll be dealing with appraisals, home inspections, and of course, re-inspections as repairs are completed and the transaction moves toward a successful closing. We put together a few tips
The entire point of ordering an appraisal is to be more certain of the value of a property. It makes sense that if you’re going to order an appraisal, to look for reports that will reduce your risk. There are some simple things you can do to reduce the potential for claims due to faulty
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