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Monday, September 5, 2011

Real Estate Glossary


Appraisal
A written justification of the price paid for a property, primarily based on an analysis of comparable sales of similar homes nearby. 
Appraised value
An opinion of a property's fair market value, based on an appraiser's knowledge, experience, and analysis of the property. Since an appraisal is based primarily on comparable sales, and the most recent sale is the one on the property in question, the appraisal usually comes out at the purchase price.
Appraiser
An individual qualified by education, training, and experience to estimate the value of real property and personal property. Although some appraisers work directly for mortgage lenders, most are independent. 
Appreciation
The increase in the value of a property due to changes in market conditions, inflation, or other causes.