What type of value is most commonly sought by appraisers?

Market value is the most commonly sought type of value by appraisers because it represents the price a property would likely sell for in a competitive and open market. This value is determined based on several factors, including recent sales of comparable properties, current economic conditions, and the overall demand for real estate in a specific area. Appraisers aim to assess the market value accurately because it is crucial for various stakeholders, including buyers, sellers, lenders, and investors, who require informed decision-making regarding property transactions.

Market value reflects the perceptions of buyers and sellers under normal market conditions, making it a pivotal metric in real estate appraisal. This approach considers the principle of substitution, where a potential buyer would not pay more for a property than what it would cost to acquire a comparable substitute property. Such a value estimation is consistent with appraisal standards and practices, thereby reinforcing its commonality in appraisal work.

In contrast, investment value caters more specifically to individual investors based on their unique circumstances and investment goals. Assessed value is primarily linked to property taxation and might not reflect an accurate market condition. Cost value tends to focus on the expenses incurred to develop or replace an asset rather than its true worth in a competitive market. Therefore, focusing on market value provides a comprehensive and relevant