Appraisal By Summation
Appraisal by summation is an Alias for Replacement Cost A.K.A. Cost Approach, which is one of the approaches an Appraiser can go through in order to assign a Market Value to a property as a product of his/her Appraisal.
If you don’t want to click on the links for more detailed information regarding the Appraisal by summation replacement cost approach, here’s the “too long; didn’t read” version: Appraisal by summation is a method of setting a market value for a property by calculating the amount of money it would take to build from ground up - with the same materials and specifications - a new identical property on the exact location.
Real estate tips:
You're the appraiser: evaluate our Glossary Terms. Priceless, right?
Find an agent on The OFFICIAL Real Estate Agent Directory® and have him/her go through all of this hassle on your behalf!
Popular Real Estate Terms
Violating a law, commitment, duty, or obligation through commission or omission. The responsibilities of an agreement or guarantee are not met. ...
Descriptive of the architectural development of property in a certain area. For example, a housing subdivision may use very similar building architecture throughout the development. All the ...
A sash window having two vertically moving sashes respectively offset by sash weights. Each sash closes a different part of the window. ...
Power or strength of economic factors an variables influencing the real estate market. For example, real estate values may decline in times of recession because people cannot afford to buy ...
Arches, either roofed or open, mounted on a series of pillars to form a passageway or walkway. ...
The angle of a roof in relation to its horizontal axis expressed as a ratio of inches (cmm) per foot of horizontal distance. The sloping of ground, such as sloping ground away from the ...
Analysis of a real estate sales data to appraise real estate values. Sources of real estate sales data used in the market data approach include the official records of deeds and leases ...
Same as term closing: legal process of transferring a piece of real estate to a buyer. Typically it occurs in the office of the lender, attorney, or an escrow company. ...
A way to sell and finance property by which the seller keeps title but the buyer takes possession while installment payments are being made. The gain is taxed while the mortgage ...
Have a question or comment?
We're here to help.