Retroactive Appraisal Reports
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A licensed appraiser hand-selects comparable home sales, based on the needed "effective date.
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The appraiser makes an 'extraordinary assumption" of the subject's condition based on the information available. If no details on quality or condition are available, the subject will be estimated to be average for the neighborhood or market.
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Appraisers make value adjustments based on the home's size, condition, and upgrades, and may use information and photos you, the owner, provide that an AVM does not have access to and never considers.
One of the most common appraisals ordered is the Retroactive Appraisal. Retroactive appraisals give a property value based on a specific date in the past, known as the “effective date of value.” This type of appraisal is often required in situations such as estate settlements, divorce proceedings, tax appeals, legal disputes or other circumstances. The property may not even be owned any longer by the parties involved.
A Retroactive Appraisal includes:
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Comps that were sold around the "effective date".
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Market adjustments and sale trends consistent with the :effective date".
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An estimated value as of the "effective date".