What is an appraisal and an appraiser?
The Uniform Standards of Professional Appraisal Practice (USPAP) defines “appraisal” as “the act or process of developing an opinion of value of or pertaining to appraising and related functions such as appraisal practice or appraisal services.” An “appraiser” is defined by USPAP as “one who is expected to perform valuation services competently and in manner that is independent, impartial, and objective.” You may wish to refer to USPAP for official definitions of related terminology such as “Appraisal Consulting,” “Appraisal Practice,” and “Appraisal Review,” among others. What is a Fair Market Value Appraisal? “Fair Market Value” is defined in U.S. Treasury Regulation 20.2031-1(b) as follows: “the price at which the property would change hands between a willing buyer and willing seller, neither being under any compulsion to buy or well and both having reasonable knowledge of relevant facts … in the most common market.” Fair Market Value is required to be used for Estate, Probate, Ta
