REM 300 Lecture Notes - Lecture 12: Appraisal Institute, Royal Institution Of Chartered Surveyors, Financial Statement

• School: Ryerson University
• Department: Real Estate Management
• Course: REM 300
• Professor: David Scofield

Document Summary

What is an appraisal: an appraisal is a written estimate of the market value of a property as of a specified date. But there is client pressure and anchoring . See ja hansz (2004) the use of a pending mortgage reference point in valuation judgment . The process of doing an appraisal is called property valuation: appraisals are conducted by professional appraisers. Who uses market value appraisals: mortgage lenders, buyers and sellers, corporate acquisitions, mergers or dissolutions, courts, for example in cases of divorce, settlement of estates and bankruptcy. Expropriation: real estate developers when investigating project feasibility, many real estate owners appraise their portfolio regularly for financial statements, related: municipalities assess properties for property tax. Extension of credit: compensation for damage or loss. Few transactions available to indicate value (price points) Professional designation cra (for residential) or aaci (for all property types)