Reconciliation

Definition of "Reconciliation"

Maureen McCann, Real Estate Agent keller williams legacy

In appraisal, the process of reconciling three major approaches-that is, the market comparison, cost, and income approaches-to arrive at an estimate of the value of the subject property being appraised.
Adjusting the difference between two items so that the figures agree. A real estate company often has to analyze the deviation between two items, such as in preparing a bank reconciliation. For example, a reconciliation occurs when comparing the home office books account related to branch transactions with the corresponding account on the branch office books related to home office transactions. These two accounts are adjusted for the reconciling items causing the difference.