Inspection (Appraisal)
The appraiser's on-site observation of a property to document its physical characteristics, condition, quality, and features. An appraisal inspection is not a home inspection — it identifies value-relevant characteristics, not system defects.
During an appraisal inspection the appraiser measures the improvements (to the ANSI standard for most lender work), photographs the interior and exterior, notes construction quality, condition, updates, and functional layout, and observes site characteristics and external influences. Buyers often confuse this with a home inspection: a home inspector evaluates the operating condition of systems (roof, HVAC, electrical) for the buyer's protection, while the appraiser documents what affects market value. The two serve different purposes, and one does not substitute for the other.
Related Terms
Gross Living Area (GLA)
GLAThe total finished, above-grade living area of a residential property, measured in square feet.
Subject Property
The property being appraised.
Effective Date (Date of Value)
The date on which the appraiser's opinion of value applies.
Appraisal
The act or process of developing an opinion of value for a property, performed by a licensed or certified appraiser following recognized methods and professional standards.
More in Appraisal Process
View allScope of Work
The type and extent of research and analysis performed in an appraisal assignment.
Extraordinary Assumption
An assumption that is directly related to a specific assignment and, if found to be false, could alter the appraiser's opinions or conclusions.
Hypothetical Condition
A condition that is contrary to known fact but is assumed for the purpose of analysis.
As-Is Value
The value of a property in its current physical condition, as of the effective date of the appraisal, without any hypothetical conditions or extraordinary assumptions about future improvements or changes..