Market value or OMV is the price at which an asset would trade in a competitive auction setting. Market value is often used interchangeably with open market value, fair value or fair market value, although these terms have distinct definitions in different standards, and differ in some circumstances.
Real estate appraisal, property valuation or land valuation is the process of developing an opinion of value for real property. Real estate transactions often require appraisals because they occur infrequently and every property is unique, unlike corporate stocks, which are traded daily and are identical. The location also plays a key role in valuation. However, since property cannot change location, it is often the upgrades or improvements to the home that can change its value. Appraisal reports form the basis for mortgage loans, settling estates and divorces, taxation, and so on. Sometimes an appraisal report is used to establish a sale price for a property.
Comparables is a real estate appraisal term referring to properties with characteristics that are similar to a subject property whose value is being sought. This can be accomplished either by a real estate agent who attempts to establish the value of a potential client's home or property through market analysis or, by a licensed or certified appraiser or surveyor using more defined methods, when performing a real estate appraisal.
The sales comparison approach (SCA) relies on the assumption that a matrix of attributes or significant features of a property drive its value. For examples, in the case of a single family residence, such attributes might be floor area, views, location, number of bathrooms, lot size, age of the property and condition of property.
An appraiser is a person that develops an opinion of the market value or other value of a product, most notably real estate.
Highest and best use is a concept in real estate appraisal that originated with early economists such as Irving Fisher, who conceptualized the idea of maximum productivity.
The Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (FIRREA), is a United States federal law enacted in the wake of the savings and loan crisis of the 1980s.
A comp check is a request made to a state licensed or certified real estate appraiser, sometimes to assure a minimum opinion of value before an order, is placed. Because providing an opinion of value is the definition of an appraisal in the United States, the practice of the look-up, when excess care is not taken, runs a greater risk of being in violation of the Uniform Standards of Professional Appraisal Practice (USPAP) than an assignment with a more thorough Scope of Work.
The Appraisal Foundation (TAF) is the United States organization responsible for setting standards for the real estate valuation profession. The organization sets the congressionally authorized standards and qualifications for real estate appraisers, and provides voluntary guidance on recognized valuation methods and techniques for all valuation professionals. The aim is to ensure appraisals are impartial, objective and independent, are conducted without bias and are performed in an ethical and competent manner.
William N. Kinnard, Jr. was one of America's leading real estate educators, authors, and experts in the field of appraisal.
The American Society of Appraisers (ASA) is an American nonprofit organization which serves as a professional affiliation of appraisers of all disciplines. The organization is the largest multi-discipline, voluntary membership, trade association representing and promoting their member appraisers.
In the field of real estate appraisal, extraordinary assumptions and hypothetical conditions are two closely related types of assumptions that are made as predicating conditions of an appraisal problem. Under the Uniform Standards of Professional Appraisal Practice (USPAP), they are two of the assignment conditions on which an appraisal assignment is predicated, the others being general assumptions, laws & regulations, supplemental standards, jurisdictional exceptions, and other conditions affecting scope of work. Making the distinction between the two is important when compiling or reporting appraisals in the United States or other jurisdictions where USPAP is considered the professional standard because USPAP has different specific disclosure requirements for each in an appraisal report and specifies different conditions under which each can be made.
The Russian Society of Appraisers (RSA) is a premier organization of valuation professionals in Russia, embracing about 50% of recognized valuation professionals in the country from across various specialisms and geographical regions. It was the first national professional valuation society to be established in 1993 and the only Valuation Society to attain 'All-Russian Public Organization' status, with branches in the majority of constituent entities of the Russian Federation. It has the status of self-regulated organization (SRO), with current membership reaching over 6,000 individuals. Members of the Russian Society of Appraisers comprise both property and business valuation professionals.
HVS is a consulting firm that specializes in providing services to the hospitality industry. As of 2020, HVS operated out of 47 offices located in North America, Europe, Asia, Africa and the Middle East. HVS offers expertise across all types of hospitality assets, including hotels, restaurants, casinos, shared-ownership lodging, mixed-use developments, golf courses, and spa and wellness, as well as conventions, sports, and entertainment facilities. In addition to market studies, feasibility studies, and appraisals, HVS provides multiple hospitality services and specializations in areas such as executive recruitment, brokerage, hotel management, asset management, operational consulting, litigation support, court-appointed receivership services, hospitality interior design, tax advisory, and hotel brand and management selection.
A broker's price opinion (BPO) is a report that is performed by a licensed real estate agent, broker. or appraiser. A BPO is an informal appraisal. It is similar to doing a CMA but most times the real estate professional gets paid to do a BPO. A BPO can be either an exterior drive-by or a full interior report. When doing a BPO, the real estate professional researches the subject property, takes pictures of it, investigates the neighborhood, as well as retrieves six comparable properties in their MLS. The final BPO is used to support their professional opinion that will help determine the potential selling price or estimated value of a property.
The International Right of Way Association (IRWA) is considered the central authority for right of way education and certification programs, as well as professional services, worldwide.
The California Bureau of Real Estate Appraisers (BREA) is a division of the California Department of Consumer Affairs responsible for real estate appraiser licensing and certification in California.
International Property Measurement Standard (IPMS) is a standardised and globally applicable method for measuring property. It aims to address current inconsistencies in the way property of all types is measured from one market to the next, improving property market data and providing greater transparency.
Real estate is property consisting of land and the buildings on it, along with its natural resources such as growing crops, minerals or water, and wild animals; immovable property of this nature; an interest vested in this (also) an item of real property, buildings or housing in general. In terms of law, real is in relation to land property and is different from personal property while estate means the "interest" a person has in that land property.
