Niagara Region's choice for Real Estate Appraisals and consulting services since 1981
Niagara Region's choice for Real Estate Appraisals and consulting services since 1981

Appraisal-101

What is an Appraisal?

An Appraisal is a formal and impartial estimate or opinion of value, usually written, of an adequately described property, as of a specific date, and supported by the presentation and analysis of relevant data.  It is prepared by a qualified individual for reliance by identified parties for which the appraiser accepts responsibility.

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The Appraisal Process

The appraisal process is an orderly process by which the task of estimating the market value of a property as at a specific date is established, the work necessary to solve the problem is planned, and the data involved is acquired, classified, analysed, and interpreted into an estimate of value.

Step 1. The Inspection

Step 1. The Inspection

A thorough inspection of the property being appraised is completed to identify the location, type of dwelling, number of rooms, basement development, garages, etc. and to determine the condition and quality of the interior and exterior. The inspection often includes measuring the dwelling to record the proper size. The appraiser also looks for any positive or negative influences, physical and functional things that would affect the value of the property.

Step 2. Data Collection and Analysis

Step 2. Data Collection and Analysis

Information regarding the city/town, neighbourhood, services and utilities available, the address, ownership, land use classification, site dimensions and area, legal description, taxes, tax assessment, age of the dwelling, purchase price and sale date, previous MLS history, current real estate market data, comparable sales and listings are gathered and analysed.

Step 3. Direct Comparison Approach

Step 3. Direct Comparison Approach

The value estimate in this approach is based on the selling price of comparable properties. Recent sales and listings in the area are researched to find properties which are the most similar or ”comparable” to the subject property being appraised. The details of these sales and listings are verified. Using our knowledge of the value of certain items such as dwelling size, features, upgrades and other value enhancing characteristics, the differences between the comparable sales and the subject property are identified and adjusted for. An agreement among the adjusted values or a range of value may result.

Step 4. Final Estimate of Value

Step 4. Final Estimate of Value

To arrive at a Final Estimate of Value, the appraiser selects the value by applying greater weight to one or more of the comparable sales or equal weight on all of them based on a variety of criteria such as which sales were the most similar to the subject, required the least amount of adjustments or the most recent.

Step 5. Complete the Residential Report Form

Step 5. Complete the Residential Report Form

Addenda to the report are prepared and usually include interior and exterior photo’s, city/town and comparable sales map. The entire report is reviewed and signed. The outcome of the appraisal is communicated to the client and the report is delivered.

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Types of Appraisals
We provide Residential, Industrial and Institutional appraisals. This will also include new construction developments, progress inspections, drive-by appraisals, estate planning, park dedication appraisals and valuation of road allowances. The types of assignments completed can be used for mortgage financing, legal matters such as division of family assets and assisting in historical date appraisals for use in capital gains tax calculations. We also complete appraisal assignments to be used as evidence in assessment appeal hearings.
Types of property appraised
Residential Dwellings, Seasonal Dwellings, Sub-division Land, Mobile Dwellings, Partial Takings, Road Allowances, Raw Land, Crown Lands and Condominiums. We specialize in Lake Erie Waterfront Properties.
Our Clients
We provide appraisals and consultancy services to an extensive client base. Our clients include: Most of the major chartered banks and credit unions, law firms, Real Estate companies, Municipal and Government Organizations, corporations, employee relocation firms, appraisal management companies and private individuals.