APPRAISAL: (noun) the act or process of developing an opinion of value; an opinion of
value.

(Adjective) of or pertaining to appraising and related functions such as appraisal practice or appraisal services.

Comment: An appraisal must be numerically expressed as a specific amount, as a range of numbers, or as a relationship (e.g., not more than, not less than) to a previous value opinion or numerical benchmark (e.g., assessed value, collateral value).

Typically, mortgage companies, banks and other various
financial institutions employ appraisers. But private appraisals can be beneficial as well.

Pre-Listing Appraisal –
If a home owner is interested in selling their house, an appraisal can help them to make a determination what a competitive sales price should be. Or before a home owner decides to invest in any improvements to their home; an appraisal can help them make a decision if the improvements are worth the investment.

Divorce, Estate Planning or Liquidation –
Besides heartache, the dissolution of a marriage or an estate can be stressful and costly and neither party wants to lose money; especially with one of their biggest investments or heirlooms – Real Estate. An appraisal can help to determine the TRUE value of their home or estate and to make sure it is disposed of at a fair market value.

Property Tax Challenges
PMI Removal

An appraisal is not a home inspection. A home inspector provides this service and it completely different than the appraisal. The inspector runs checks on the mechanical, electrical and plumbing components of the home and to make sure the home is generally and structurally sound.

The appraiser will note and report any obvious, observable deficiencies in the home, but will not offer remedies to cure any noted deficiencies. The appraiser will take photographs from all angles of the exterior of the home and will take interior photographs of ALL of the rooms inside the home. So, it is important to make sure all rooms are available for observation. Depending on what the scope of work is, there may be a need to make a head and shoulders observation of the attic, run the water in the sinks, flush the toilets, operate the showers and to make sure the utilities are operational.

Then the appraiser will measure the exterior of the home and any areas that are
deemed livable to make a determination of the approximate above grade square
footage. After a brief discussion with the homeowner, if present, the appraiser will analyze all the gathered data, compile and deliver the report.