Our Appraisal Process
Our Step-By-Step
Appraisal Process
Appraisal Process
Metro Appraisal Corporation follows a set process backed by over 25 years of experience to ensure an accurate and comprehensive appraisal.
1. Learn About the Property
The first step in evaluating a property or portfolio is acquiring details on the property, intended use of the appraisal and terms of reference.
2. Site Inspection
A site inspection is completed to determine the details on the property, site improvements, buildings, equipment and any other details pertinent to valuation process.
3. Research Component
Following the property inspection, our team will set up the appraisal report, containing all required location mapping showing property details and outlines, property and improvement photographs, a detailed description of the property and improvements, followed by, amongst other sections, the valuation details.
Three Approaches to Appraisal Valuation
The following appraisal approaches can be used to determine market value:
- Direct Comparison Approach: The process of deriving a value indication for the subject by comparing similar properties that have sold, identifying appropriate units of comparison, and making adjustments to the sale prices of the comparable properties based on relevant units of comparison.
- Cost Approach: The process of deriving a value indication for the subject by a summation of the land value and depreciated replacement cost of the improvements.
- Income Approach: A value indication of the subject based on a capitalized present worth of future benefits including current and projected income.