What Do WE Appraise?
In addition to the generalist knowledge, Courtney Christy have professional experience and knowledge in 18th-21st century American and European works. Courtney also consults with The Potomack Company's team of specialists in a wide array of categories.
Fine Art – paintings, drawings, prints & sculpture
Decorative Art – silver, ceramics, Glass & furniture
Residential – furnishings, designer interiors
20th Century - Midcentury, Studio & Contemporary Craft
WHAT IS AN APPRAISAL?
The Appraisal Foundation Board defines an appraisal as “the act or process of developing an opinion of value; an opinion of value.” An appraisal report is a written document that states an opinion of how much a property is specifically worth in a particular context. A qualified appraiser conducts proper research, follows current appraisal methodology, and objectively reports the value conclusions. Thus, an appraisal provides useful information that can impact how the property is viewed and treated.
WHy Do You Need an Appraisal?
Simply put, a professional appraiser answers the question “What’s it worth?” The answer to this question is influenced by the intended use and objective of the appraisal. Here are a few common reasons an appraisal report is needed:
ESTATE PLANNING - FAMILY DIVISION & TAX PURPOSES
INSURANCE – COVERAGE, CLAIMS & UNDERWRITING
POTENTIAL RESALE – GALLERIES, AUCTIONS, ESTATE SALES & LIQUIDATION
LEGAL SUPPORT – EXPERT TESTIMONY & LITIGATION
PERSONAL KNOWLEDGE – OBJECT INFORMATION & MARKET TRENDS
DONATION – CHARITABLE CONTRIBUTION & GIFT TAX
Two Types of Appraisal Reports
As defined by the Uniform Standards of Professional Appraisal Practice (USPAP) set forth by the Appraisal Standards Board, a Congressional subcommittee.
Appraisal Report summarizes the appraiser’s analysis and rationale for the conclusions of value. Uses: Insurance, Estate Valuation, Litigation, IRS, Donation, etc.
Restricted Appraisal Report is provided when the client is the only intended user with no other third parties requiring additional rational for the appraiser’s conclusions. Uses: Potential Sale, Estate Planning, Personal Knowledge, etc.
Common Types of Values
As defined by the International Society of Appraisers (ISA)
Determine Fair Market Value: the price that property would sell on the open market between a willing seller and a willing buyer in a public sale, neither being under any compulsion to buy or sell, and both having reasonable knowledge of all relevant facts.
Estimate Replacement Cost: the amount it would cost to replace an item with another of similar or like quality within a reasonable amount of time in the relevant marketplace.
Calculate Present Worth: the current amount that would be the equivalent of income generated by the sale of property at some point in the future.
The same item may have several different values depending on the intended use of the appraisal. For example, the insurance value of an 18th century Chippendale chair may be different than its resale value in the current market. Your appraiser will be able to assign the appropriate value after discussing the purpose of the appraisal.