DorettaMasson318

Real estate appraisal is that the real one?

Real estate appraisal or property valuation is the process of determining the value of the property on the basis of the highest and the best use of real property (which ostensibly translates into determining the fair market value of the property). The person who performs this real estate assessment exercise is named the real estate appraiser or property valuation surveyor. The value as based on real-estate appraisal may be the fair market value. The real estate appraisal is performed using different methods and the real estate appraisal values as different for difference reasons e.g the property. The actual estate assessment might assign 2 different values to exactly the same property (Improved value and empty value) and again the same/similar property might be assigned different values in an industrial zone and a residential zone. However, the value assigned as a result of real estate assessment might not be the value that a real estate investor would consider when assessing the property for investment. Actually, a real estate investor may completely ignore the value that happens of real estate assessment process.

An excellent real estate investor could examine the home on the basis of the improvements going on in the area. Therefore real estate appraisal as performed by a real estate investor could produce the price that the real estate investor could possibly get out of the home by buying it at a price and selling it at a higher price (as in today's). Likewise, real estate investor could do their own real estate appraisal for the estimated value of the property in, say 2 years time or in 5 years time. Again, a estate investor might perform his real estate appraisal based on what value he/she can cause by committing some amount of cash in the property i.e. a estate investor might decide on buying a dirty/scary sort of property (which no body likes) and get some slight repairs, painting etc done in order to improve the value of the property (the value that the real estate investor would get by selling it in the market). So, here the meaning of real estate appraisal modifications completely (and can be quite different from the value that real estate appraiser would emerge with the house) on if a real estate appraisal exercise was conducted by the real estate appraiser.

A real estate investor will usually base his investment decision with this real estate appraisal he does by himself (or gets completed through someone). Therefore, can we then term real estate appraisal as a really real real estate appraisal? Culturame.it has a problem