Who uses appraisals?

The lending community is one of the largest users of appraisal services. By law, they are required to document the collateral value of real estate for mortgage loans.
Property owners and/or real estate brokers often obtain an appraisal when listing a property for sale. The appraisal will help establish a listing price and expected sale price. Furthermore, the appraisal will provide an objective analysis of the property and market area to aid in determining the strengths and weaknesses of the property and how it competes in the marketplace.

Attorneys and accountants are large users of appraisal services for a variety of reasons, including: Real estate tax appeals, estate planning, litigation and dispute resolution.

Federal, state, and local governments hire appraisers to assist in determining compensation in condemnation cases. They are also users of appraisal services to determine the fair market rent of public buildings, as well as assistance in the acquisition or disposition of public buildings.