APPRAISALS WITHOUT INSPECTION

In some appraisal assignments the property is no longer available for inspection for various reasons including destruction, loss or theft.  Such assignments have limiting conditions and frequently require extraordinary assumptions.  Such appraisal assignments require good judgment, experience with the subject property types, their relevant markets, developmental requirements and the necessary analytical methods and techniques. Novotny has performed such assignments for litigation support or insurance loss claims on numerous occasions.

The appraiser must determine whether the assignment is appropriate to accept. The appraiser must determine whether the assignment conditions are so limiting that credible assignment results cannot be developed. There must be a sufficient identification of the subject property for credible analysis and value determination. Sometimes it is a litigant, or an insured, that provides the object's description that serves as the basis of the object's identification.

In 2008 Novotny authored a scholarly article that analyzes the USPAP requirements that impact these types of assignments. The article explores the limitations of the relevant appraisal methods and discusses the techniques that can result in credible analysis and assignment results. The journal article can be acquired at the ISA Education Foundation website:

www.appraisaljournal.org