Appraisal Inspections

As noted in the 2006 version of USPAP, "the primary reason for (an appraisal) inspection of a property is to gather information about the characteristics of the property that are relevant to its value." The appraiser’s inspection commonly is limited to those things readily observable without the use of special testing or equipment.  While some clients assume that the scope of an appraisal inspection goes well beyond the "readily observable" items, generally it does not. 

Thus, the inspection conducted by a real property appraiser is not equivalent to an inspection completed by an inspection professional (e.g., structural engineer, licensed home inspector, etc.). An appraiser’s observations must, however, be thorough enough to properly develop the appraisal and adequately report a property's relevant characteristics. Regardless of how the information is gathered, it must be sufficient to development relevant analyses, including the highest and best use analysis, the application of the approaches, etc.

Appraisers look for obvious water leaks, usually from the roof, for significant cracks in the walls and floors, for signs of deferred maintenance, for signs of environmental hazards, for evidence of underground storage tanks (UST's), for stains and odors from dumping wastes and for a wide range of defects that can negatively impact property value.   

There are situations where appraisal clients want exterior-only inspections, and there are many appraisals completed where no inspection whatsoever is possible, like appraisals for development from plans and specifications.  The personal observations of an appraiser are a primary source of information regarding a property, and important to the appraisal process.  They are not, however, meant to be a substitute for a professional building inspection.  

Contact us with your questions or concerns regarding appraisal inspection or regarding your specific appraisal assignment in Nevada at 1-702-568-6699.  We can also be e-mailed at grigdon@cox.net.  

Commercial Real Estate Appraisals in the Las Vegas & Henderson, Nevada Area.