Real Estate Appraisal



Real Estate Appraisal

Real estate appraisal, property assessment or land appraisal is the preparation of developing an estimation of the value of real property, frequently its Market Value.

The need for evaluation arises from the varied nature of property as an investment class: no two properties are equal, and all properties vary from each other in their location - which is the most vital determinant of their value.

So there cannot exist a centralised Walrasian auction setting for the trading of property assets, as there exists for buy and sell in corporate stock. The deficiency of a market-based pricing mechanism influences the need for a specialist appraisal/valuation of real estate/property.