1. REAL ESTATE APPRAISAL 1

2. WHAT WE WILL LEARN WHAT AN APPRAISAL IS FORMAL AND INFORMAL APPRAISAL
OCCASIONS REQUIRING APPRAISALS
STANDARTDS OF APPRAISAL PRACTICE

3. WHAT AN APPRAISAL IS
Appraisal is the preparation of an estimate or opinion of value of some object or thing.
Value means the worth, usefulness, or utility of an object to someone for some purpose.

4. FORMAL AND INFORMAL APPRAISAL
An informal appraisal is a common part of our lives. Whenever we buy groceries, household appliances, or automobiles, we usually make an informal appraisal to judge if the prices are reasonable. We do this by comparing one product with another, or by matching the price of one item against that of a similar one.

5. A formal appraisal is a means of reaching an opinion value by the methodical collection and analysis of relevant market data. A formal appraisal involves a value conclusion (appraisal report) that is based on an analysis of factual material.

6. OCCASIONS REQUIRING APPRAISALS
MARKET TRANSACTIONS
LEGAL TRANSACTIONS

7. MARKET TRANSACTIONS PURCHASE, SALE, AND EXCHANGE FINANCING LEASING
MANAGEMENT
INSURANCE COVERAGE
REMODELING AND DEVELOPMENT
FEASIBILITY AND HIGHEST AND BEST USE STUDIES
EXERCISE PF PURCHASE OR LEASE OPTIONS

8. LEGAL TRANSACTIONS EMINENT DOMAIN
PROPERTY TAX ASSESSMENT AND TAX APPEALS CASES
ESTATE, INHERITANCE, AND GIFT TAXES
INCOME TAX
PERSONAL AND CORPORATE LEGAL ACTIONS
ENVIROMENTAL IMPACT REPORTS
FIRE OR TITLE INSURANCE CLAIMS

9. MARITAL AND PARTNERSHIP DISSOLUTIONS
LANDLORD-TENANT AND PROPERTY DAMAGE LAWSUITS
LOAN FORECLOSURES
COMPANY LIQUIDATION OR MERGER
BANKRUPTCY
SECURITY FOR BAIL BONDS

10. STANDARTDS OF APPRAISAL PRACTICE
APPRAISAL STANDARTS WERE EVENTUALLY RECOGNIZED BY PROFESSIONAL APPRAISAL ORGANISATIONS THROGHOUT THE UNITED STATES AND NORTH AMERICA.
NOW PUBLISHED AND MAINTAINED BY THE APPRAISAL FOUNDATION, THE UNIFORM STANDARTS OF PROFESSIONAL APPRAISAL PRACTICE (USPAP), IS NOW REQUIRED AND FOLLOWED BY MOST STATE AND FEDERAL REGULATORY AGENCIES.
USPAP IMPOSES ETHICAL OBLIGATIONS AND APPRAISAL STANDARTS.

11. ETHICAL OBLIGATIONS Conduct Management Confidentiality Record keeping
The competency rule
The scope of work rule
The jurisdictional exception rule
The supplemental standards rule

12. APPRAISAL STANDARTS Standard 1: Real Property Appraisal Development
Standard 2: Real Property Appraisal Reporting