An appraisal is a business term used to refer to the valuation of the worth of a property, business, collectible, or any valuable asset by an authorized person called an appraiser.
Any appraiser must have an authorized designation from a regulatory body that governs his or her jurisdiction.
One important fact about an appraisal is that it is often used for insurance or taxation purposes to just determine the general market worth of an asset.
- Collectibles or Antiques: These are appraisals done for items like collectibles -arts, gold, silver, etc.
- Home Appraisal: This is often conducted during the process of buying or selling a home. This is often to ensure that prices resonate with the number of years, number of rooms, etc.
The primary purpose of an appraisal is to provide an objective and accurate valuation of an asset. So that those can make informed decisions, provide feedback, or determine its worth or value generally.