1/31/2013 5:31:00 PM by Cliggitt Valuation, Inc. - Mike Cliggitt, MAI, MRICS, CCIM, Certified General Appraiser
In real estate "Price" is the amount a purchaser agrees to pay and a seller agrees to accept under the specific circumstances surrounding their transaction. Sometimes the price is reflective of "Value" as determined by an appraiser but sometimes can be substantially different depending on the circumstances of a specific transaction. Good appraisers spend lots of time researching transactions and figuring out how price was determined and how it relates to determining an opinion of value. An appraiser typically tries to mirror the market when determining an opinion of value for a property. The short version of what value is, in essence, value should be a reflection of the collective market as to how it relates to a specific property including consideration of a range of market based evidence/data that reflects the collective value judgement of market participants. For more information about pricing, value, or the appraisal/valuation process, please visit our website and contact us with your questions.
Mike Cliggitt, MAI, MRICS
Cliggitt Valuation, Inc.
www.cliggitt.com