Appraisal and Valuation

Assessed value is the value assigned to a property for property-tax purposes by the local taxing authority.

The cost approach estimates value by looking at land value plus the cost to replace or reproduce the improvements, adjusted for depreciation.

The estimated period during which property improvements continue contributing value to the real estate in their market use.

An exterior-only appraisal is a property valuation that relies on exterior inspection and other data without a full interior walkthrough.

Property valuation method that converts market rent or income expectations into an indicated value.

Market value is the price a property would likely command in an open market under typical conditions.

Appraisal value loss in property improvements caused by age, wear, deterioration, damage, or deferred maintenance.

Deferred maintenance is delayed property upkeep that can affect appraised value, marketability, repair conditions, and mortgage eligibility.

Home-value benchmark used for federal borrower-paid PMI cancellation and automatic-termination calculations.

Property-related requirement arising from appraisal review that must be resolved before the lender can rely on the valuation or collateral.

Follow-up property inspection used to document whether repairs, construction, or other appraisal conditions were completed as required.

Property repair imposed through appraisal and lender review that must be completed or otherwise resolved for mortgage approval.

Risk that a property's value, condition, legal status, access, or marketability may not adequately support the mortgage.

Appraisal estimate of the amount needed to correct a property deficiency, used in condition, value, and collateral analysis.

How readily a property is expected to sell under normal market conditions, based on demand, utility, condition, legal rights, and financing access.

Program-specific requirements used to determine whether a mortgaged home meets baseline safety, condition, access, utility, and collateral criteria.

FHA standards for new construction that supplement minimum property requirements for safety, soundness, security, and construction acceptability.

FHA property-acceptability framework focused on occupant safety, structural soundness, and the home's adequacy as mortgage security.

Comparable sale price after market-supported adjustments, used as one indication in the appraisal's value analysis.

Property observation step used in some appraisals to gather information relevant to mortgage valuation.

Written valuation document that explains the property, market evidence, and supported value used in a mortgage file.

Follow-up valuation work used to determine whether a prior appraisal remains usable for a mortgage file.

An appraisal waiver lets an eligible mortgage proceed without a traditional appraisal, though investor terminology varies.

Valuation professional who develops the property value opinion used in a mortgage appraisal.

Computer-generated property value estimate that may support screening, review, or limited valuation workflows.

Appraisal technique that uses comparable sales above and below the subject property's key characteristics.

Choosing the comparable sales that best support a mortgage appraisal value conclusion.

Appraisal adjustment for meaningful condition differences between a comparable sale and the subject property.

A standardized appraisal rating that summarizes a dwelling's maintenance, wear, deterioration, repairs, and overall physical condition.

An appraisal review completed from the original report and available market data without a new field observation of the property.

An appraisal estimate of a property's apparent age based on condition, maintenance, updates, and market utility rather than year built alone.

Date the appraiser's value opinion applies to, which may differ from the report completion date.

Appraisal value loss caused by adverse influences outside the property that affect buyer demand or market utility.

Appraisal assumption treated as true for the analysis even though it could affect value if wrong.

An appraisal review that adds direct property or market observation to evaluation of the original appraisal report.

Follow-up property check used to confirm required repairs or completion items for a mortgage file.

Appraisal value loss caused by a property's design, layout, or features providing less market utility than competing homes.

Common appraisal term for finished above-grade area in residential comparison, called above-grade finished area in newer UAD reports.

Total appraisal adjustment activity on a comparable sale before positive and negative changes offset.

Appraisal concept describing the reasonably supported use of a property that drives its value analysis.

Appraisal condition used for analysis even though it is contrary to current fact or not yet true.

Appraisal adjustment for location differences that affect a comparable sale's usefulness.

Combined positive and negative appraisal adjustments after they offset each other on a comparable sale.

Appraisal method for estimating an adjustment by comparing similar sales that differ mainly by one feature.

Standardized gathering of property information that can support some mortgage valuation workflows.

Appraisal report field identifying the ownership interest or property rights being valued.

A standardized appraisal rating that describes a dwelling's design, workmanship, materials, construction, and finish level.

An appraisal estimate of how long property improvements are expected to continue contributing value in their current market use.

Appraisal report table comparing the subject property with selected comparable sales and adjustments.

Appraisal opinion based on specified repairs, completion, or conditions being satisfied.

Appraisal adjustment for market movement between a comparable sale date and the valuation date.

Appraisal reasoning step that weighs valuation evidence to reach a supported final value conclusion.

An appraisal is a professional valuation of a property used to help a lender judge whether the collateral supports the mortgage.

Market-based change applied to a comparable sale to account for a meaningful difference from the subject property.

Appraised value is the property's value conclusion as stated in the appraisal report.

As-completed value is the expected appraised value of a property after specified repairs, renovations, or construction are finished.

As-is value is the appraised value of a property in its current condition, before planned repairs or improvements are completed.

Recent verified property sales selected for their similarity and usefulness in supporting a home's market value.

The sales comparison approach estimates property value by comparing the home with similar recently sold properties.

Subject property is the home being appraised, underwritten, or otherwise evaluated in a mortgage file.

An appraisal management company coordinates appraisal ordering, panel management, and quality-control functions between lenders and appraisers.

Mortgage appraisal terms covering property value, comparable sales, condition, repair requirements, marketability, and collateral review.

Difference between a purchase price and lower appraised value that may change LTV, loan amount, or cash to close.

The lender-side check of a completed appraisal to confirm the report is usable, internally consistent, and fit for the mortgage decision.

A broker price opinion is a property value estimate prepared by a real estate broker or agent rather than a licensed appraiser.

A desktop appraisal is a valuation approach completed without a traditional full interior property visit.

A hybrid appraisal is a valuation format in which property-inspection work and appraiser analysis are split into separate roles.

A reconsideration of value asks the lender to review an appraisal for material errors or overlooked valuation evidence.