appraisal of a house or other property
is the valuation of the rights of ownership.
The appraiser does not create value, rather
he or she interprets the market to arrive
at a value estimate for the house or property
in question. As the appraiser compiles
data pertinent to a report, consideration
must be given to the site and amenities
as well as the physical condition of the
property. An appraiser may spend only
a short time inspecting the property,
however, this is only the beginning.
is a considerable amount of research and
collection of general and specific data
that must be carried out before the appraiser
can arrive at a final opinion of value.
There are many types of value (including
Fair Market Value, Insurance Value, Tax
Value and Value In Use), and as such the
need to precisely define the purpose of
the appraisal is essential.
appraisal is generally defined as an opinion
of value or the act or process of estimating
value. This opinion or estimate is derived
by using three common approaches, all
derived from the market. These are explained