Valuation - The process of estimating the value of a property as of a given date.

Mortgage Value - The value the lender places on a property.

Real Estate Value - Current worth of the benefits associated with the property and use.

Capitalized Value - The resulting value of applying capitalization rates in the capitalization approach.

Insured Value - The face amount insurance will pay for a property.

Value-In-Use - Lesser than the market value, does not take into account highest and best use. The value a particular property has for a particular use.

Highest and Best Use - The use of a site that would yield the greatest land value.

Market Value - The value of the property based on analyzing data collected about the property.

Progression and Regression - The principle that holds that a property is affected by the surrounding properties.

Progression - The smallest house on the block will increase if other homes have more value.

Regression - The largest home on the block will decrease if other homes are lower in value.

Evaluation - The study of the nature, quality, or utility of certain property interests in which a value estimate is not necessarily required; looks at principles that influence the value of the property.

Appraisal - An unbiased estimate of the nature, quality, value or utility of a property.

CMA - Done by an agent; an examination of the prices in which similar properties in the same area have recently sold for.

- Appraisals are done by professionals using data over the "Sales Comparison Approach", "Cost Approach", or "Income Approach"

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Chapter Two

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