2. Investment method. Used for most commercial (and residential) property that is producing future cash flows through the letting of the property. If the current estimated rental value (ERV) and the passing income are known, as well as the market-determined equivalent yield, then the property value can be determined by means of a simple model. Note that this method is really a comparison method, since the main variables are determined in the market. In standard U.S. practice, however, the closely related capitalizing of NOI is confounded with the DCF method under the general classification of the income capitalization approach (see above).
The International Valuation Standards Council (IVSC) is a non-governmental organization (NGO) member of the United Nations with membership that encompasses all the major national valuation standard-setters and professional associations from 41 different countries (including the Appraisal Institute, the American Society of Appraisers, the RICS, the [Practising Valuers Association of India] and the Appraisal Institute of Canada). IVSC publishes the International Valuation Standards (IVS), now in its 8th edition.

On February 1, 2018, the AQB adopted new experience requirements to become a Licensed or Certified Appraiser. The requirements are effective May 1, 2018 in states that choose to adopt these criteria. States can opt to keep the old criteria as these are more stringent than the new requirements. You are required to complete 1,000 hours of experience in no less than 6 months. These hours must be directly supervised by an acceptable supervisory appraiser. Appraisers are required to maintain a log jointly with the supervisory appraiser.
The cost approach was once called the summation approach. The theory is that the value of a property can be estimated by summing the land value and the depreciated value of any improvements. The value of the improvements is often referred to by the abbreviation RCNLD (for "reproduction/replacement cost new less depreciation"). Reproduction refers to reproducing an exact replica; replacement cost refers to the cost of building a house or other improvement which has the same utility, but using modern design, workmanship and materials. In practice, appraisers almost always use replacement cost and then deduct a factor for any functional dis-utility associated with the age of the subject property. An exception to the general rule of using the replacement cost is for some insurance value appraisals. In those cases, reproduction of the exact asset after a destructive event like a fire is the goal.

I just wanted to let you know how helpful Mike Nichols was in helping us through a complicated situation in a real estate transaction where a tax certificate had been sold on the subject property. He went above and beyond the call of duty, patiently explaining the situation separately to all three parties involved. The issue was resolved with his help and his response was excellent.


In a continuing effort to reduce costs of operating its motor fleet, the Hillsborough County Property Appraiser’s office announces an Invitation for Bids for the leasing of approximately 20 full hybrid (gas-electric) sedan vehicles model year 2017 or later. The deadline for submittal of bids is June 15 at 2 p.m. All interested firms can obtain a copy of the IFB by clicking here.
Frishe, 67, is a consultant and real estate broker who served two stints in the Florida House, from 1984 to 1990 and 2006 to 2012. He views the appraiser's position as a ministerial job that requires managing people and providing top-notch customer service. But experience is important. While Frishe has a laudable record of community involvement, he cannot match Twitty's expertise in the appraisal field.
I spoke with John about getting an appraisal for the home I was purchasing and even though it was short notice, he was able to fit me in the next week. I gave him my information and told him the last inspector I called had agreed but had to back out when he found out how large the house was, but John said it would be no problem, and figured it would take a couple of days to do the appraisal and get the proper amount of comps. I had no problem with his fee, as I know that large houses can cost even more to inspect and appraise and thought his prices were reasonable-- especially considering how quickly he was going to get it done. Right after our phone conversation he sent me an email and sent the contract, which I signed and emailed back, and gave him my credit card info., which made it very easy to deal with versus writing another check-- which you write so many of in the house purchasing process. He arrived promptly and introduced himself, and was just as pleasant in person as he was on the phone. He did a thorough job of going through the house, and really seemed to know his business very well. He was nice enough to point out some positive aspects about the house we were purchasing, and pointed out many details. He was very knowledgeable about the housing industry and houses in general as well, and after business talk, it was nice he took the time to just chit chat for a bit. After speaking with me on the phone and chatting at the house, he gave me some great information about places he thought I would be interested in visiting, because he figured out pretty quickly I was a nerd who would be into some of the places he mentioned. He was right! Great information and advice! I really enjoyed doing business with John, who I found interesting, knowledgeable, and excellent to work with, and if I ever need another appraisal, he is definitely the one to call! I would highly recommend him to anyone who wants the best service in this business!
U.S. Regulatory and Professional Standards and Guidelines  USPAP complia​nt valuation and independent-appraisal reviews for federally regulated  banks and financial institutions, asset-based lenders, family offices, endowments and foundations, high net worth individuals, private-equity investors and managed funds and, independent appraisal review expert witness and litigation support services to attorneys and in arbitration / mediation and as umpires.
You may ask when is an appraisal service needed? Appraisals are generally required whenever real property is sold, mortgaged, taxed, insured, or developed. In most countries, appraisers are required to be licensed and certified to properly value property and land. So if you are looking to purchase a home in the near future you will notice that your bank will order an appraisal to value the property to make sure that it's worth the value that you are borrowing from them.
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2. Investment method. Used for most commercial (and residential) property that is producing future cash flows through the letting of the property. If the current estimated rental value (ERV) and the passing income are known, as well as the market-determined equivalent yield, then the property value can be determined by means of a simple model. Note that this method is really a comparison method, since the main variables are determined in the market. In standard U.S. practice, however, the closely related capitalizing of NOI is confounded with the DCF method under the general classification of the income capitalization approach (see above).
In Germany, real estate appraisal is known as real estate valuation (Immobilienbewertung). Real estate appraisers (Immobilienbewerter or Gutachter) can qualify to become a Öffentlich bestellter und vereidigter Sachverständiger (officially appointed and sworn expert). However, this formerly very important title has lost a lot of its importance over the past years, but still is of some value in court procedures. The title is not generally required for appraisals.
When evaluating a property's value, appraisers note the characteristics of the property and surrounding area, such as a view or noisy highway nearby. They also consider the overall condition of a building, including its foundation and roof or any renovations that may have been done. Appraisers photograph the outside of the building and some of the interior features to document its condition. After visiting the property, the appraiser analyzes the property relative to comparable home sales, including lease records, location, view, previous appraisals, and income potential. During the entire process, appraisers record their research, observations, and methods used in providing an estimate of the property’s value.
Real estate valuation in New Zealand is regulated by the New Zealand Institute of Valuers ('NZIV') and the Valuers Registration Board of New Zealand ('VRB'), both of which are statutory bodies established under the Valuers Act 1948 (NZ). The NZIV remains the statutory professional body for valuers in New Zealand, with perpetual succession under the Act (which is under review as at 2015). The NZIV can make Rules as lower level legislation and has a Code of Ethics. The NZIV Rules were last changed in 2012 and remain current. The VRB has jurisdiction in relation to serious matters affecting the registration of a valuer including discipline where a valuer has acted in such a way as to meet the threshold. The Valuers Act 1948 sets the threshold under s31 as matters where a valuer could be struck off the register of valuers. The NZIV has power for discipline for relatively more minor matters. The NZIV governs NZIV members and has power to discipline members and fine them up to $500, admonish members or terminate their membership. The designations "Registered Valuer" and "Public Valuer" are legally protected under the legislation, being reserved for Valuers Registered under the Act. The NZIV, under the Act, can admit non-valuer members (such as non-valuer land economists).
There is a key distinction between the role of a real estate agent and a valuer, as an agent may advocate for its principal's interests, whereas a valuer must impartially and independently provide opinion as to value. Lawyers, Conveyancers and Real Estate Agents are permitted to act in the sale of real estate under quite different legislation from that which governs valuers. The provision for the role in relation to Lawyers and Conveyancers is the Lawyers and Conveyancers 2006.
In New Zealand, the terms "valuation" and "valuer" usually relates to one who undertakes that professional role in terms of the Valuer Act 1948 requirements or the unregulated or voluntarily self-regulated (if members of PINZ) plant and machinery, marine or art valuers. Whereas, the term "appraisal" is usually related to an estimate by a real estate sales person or licensed agent under the Real Estate Agents Act 2008. The Real Estate Institute of New Zealand includes many valuer members, but the governing legislation for sales and agency (disposal of interests of land on behalf of others) does not extend to include provision for that role by valuers regardless of membership of NZIV, RICS or PINZ.
The cost approach was once called the summation approach. The theory is that the value of a property can be estimated by summing the land value and the depreciated value of any improvements. The value of the improvements is often referred to by the abbreviation RCNLD (for "reproduction/replacement cost new less depreciation"). Reproduction refers to reproducing an exact replica; replacement cost refers to the cost of building a house or other improvement which has the same utility, but using modern design, workmanship and materials. In practice, appraisers almost always use replacement cost and then deduct a factor for any functional dis-utility associated with the age of the subject property. An exception to the general rule of using the replacement cost is for some insurance value appraisals. In those cases, reproduction of the exact asset after a destructive event like a fire is the goal.
With effect from the 1st of August 2017, new amendements to the Federal Valuation Law came to impose the compulsory certification of valuers by a state-affiliated testing centre. Consequently, this 2 hour written-exam certification measure, aimed to counter a perception of wide-spread malpractice among the members of the national valuation profession, provides for 3 valuer-specializations: real estate valuers, plant and machinery valuers, and business and intanglble asset valuers, with the exam content requirements varying substantially for each specialization. Valuers would lose a right to practice, unless they comply with the requirement to take this compulsory certification exam at or before March 31, 2018. A general assessment of this measure is that the numbers of certified valuers in Russia are set to dwindle down to some 2000-3000 valuers nationwide (across all the specialisms mentioned), i.e. decimating some 80% of the current Valuer SRO's membership, due to the complexity of the certification exams.
Most of valuations in the country tend to be performed for statutory purposes envisaged by the Federal Valuation Law (the latest amendment in 2016) and other related laws, such as the Joint Stock Companies Law. Such pieces of legislation provide for more than 20 so-called "mandatory cases of valuation", including valuations for privatization purposes, lending purposes, bankruptcy and liquidation etc. Valuations for corporate accounts used to be much more prominent before 2000, when the national accounting regulator ceased to incentivize the accounting fair value option. At present, the mass appraisal of property for taxation purposes is also starting to be outsourced by the Government to the institution of professional valuers.
Two things have been artificially sustaining the market, says Chris McCarty, director of the University of Florida Bureau of Economic and Business Research, the Federal Reserve’s infusion of cash to lift the country out of the last recession and the 2018 tax cut. Both actions put a lot of money back into the economy. The Fed is starting to raise interest rates, he says, and the tax cut boost is temporary.  
The Property Appraiser of DeSoto County, Florida is charged with placing a fair and equitable market value on every parcel of property both real estate and tangible in our county. Many people believe the Property Appraiser determines the amount of taxes a property owner will pay but this is not the case. The job of property appraiser is to value property for tax purposes; the taxing authorities (Board of County Commissioners, School Board, City Council, Water Management) set the tax rate for all property and therefore the amount of taxes to be assessed.

The type of real estate "interest" that is being valued, must also be known and stated in the report. Usually, for most sales, or mortgage financings, the fee simple interest is being valued. The fee simple interest is the most complete bundle of rights available. However, in many situations, and in many societies which do not follow English Common Law or the Napoleonic Code, some other interest may be more common. While there are many different possible interests in real estate, the three most common are:

The report must include a street map showing the appraised property and comparable sales used; an exterior building sketch; an explanation of how the square footage was calculated; photographs of the home's front, back and street scene; front exterior photographs of each comparable property used; and any other information, such as market sales data, public land records and public tax records, that the appraiser uses to determine the property's fair market value. An appraisal costs several hundred dollars, and generally, the borrower pays this fee.

Historically, most valuations in Israel were statutory valuations (such as valuations performed for purposes of Betterment Tax, a tax administered on any gains accruing to the property by way of changes to the local planning) as well as valuations performed for purposes of bank lending. Since Israel implemented the International Financial Reporting Standards (IFRS) in 2008, the profession has been engaged in performing valuations for purposes of financial reporting.
Because of a terrible quirk in state law, the next Pinellas County property appraiser will be chosen only by Republicans in the Aug. 30 primary. The two candidates are Mike Twitty, a veteran appraiser in the private sector, and Jim Frishe, a former state legislator. There is no Democratic candidate, but the presence of a write-in candidate in November means only Republicans get to vote in a primary that should be open to all voters. Twitty is the clear choice.
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