What is "property appraisal"?

Property appraisal refers to the process of determining the market value of a property, and it is specifically carried out by a qualified and impartial professional known as an appraiser. This process involves a meticulous evaluation of various factors, including the property's condition, location, and recent sales of comparable properties in the area, among other elements. The end result is an unbiased estimate that helps buyers, sellers, and lenders make informed decisions based on the likely price at which the property could be sold in the current market.

The significance of having an unbiased appraisal is paramount, especially in real estate transactions where accurate property valuation is essential. A professional appraiser's evaluation ensures that the determined value reflects fair market conditions, which contributes to transparency and equity in property dealings.

In contrast, the other options address related but distinct areas of real estate and property management. Calculations of rental income are focused on the financial performance of investment properties rather than their market value, assessments of property taxes relate to governmental evaluations for tax purposes, and determining selling costs involves estimating expenses involved in selling rather than establishing property value. Each of these aspects plays a role in the broader field of real estate but is not synonymous with property appraisal itself.