An appraisal lawfully creates clarity about the value of real estate or long-term financial obligations.

Market Value

Market value shall mean the price at which a real estate or any other property could be sold on the date of valuation in normal day-to-day business, according to law, having regard to the characterics, the nature and the location of the real estate or any other property and regardless of unusual conditions or personal circumstances. (Definition of §194 BauGB - German Town and Country Planning Code, translated)

Market value appraisals pursue different goals. Some examples :

• The valuation of real estate, with the aim of selling the property on market conditions
• The appraisel with the purpose of finding the lending value for financing the property
• The judicial sale, with the intent of satisfying the claims of the proprietor’s creditors
• The auction, with the goal of dividing the proceeds from the sale of the property among the heirs
• The identification of the original assets in marriages with marriage contracts
• The valuation of rates of return when purchasing real estate
• To justify the gift tax or the tax on acquisition of real estate for fiscal authorities