What Is
Appraised Value?
It’s an objective opinion of value,
but it’s not an exact science so appraisals may differ.
For buying and selling purposes,
appraisals are usually based on market value—what the
property could probably be sold for. Other types of value
include insurance value, replacement value, and assessed
value for property tax purposes.
Appraised value is not a constant
number. Changes in market conditions can dramatically alter
appraised value.
Appraised value doesn’t consider
special considerations, like the need to sell rapidly.
Lenders usually use either the
appraised value or the sale price, whichever is less, to
determine the amount of the mortgage they will offer.
Click Here for Other
Tips for Sellers
Used with permission from Kim
Daugherty, Real Estate Checklists and Systems (http://www.realestatechecklists.com).
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