MV opinion vs a price estimate

[JeffSH]

As my comrades above note, it's just arguing definitions and semantics. I will never understand why you can't agree with the statement "Market value is an opinion of the most probable price, so it's a price opinion" but it's okay. Happy Holidays!

 

[J Grant]

Market value is identified and defined by the appraiser within the context of a specific appraisal assignment. Market value (as appraisers use the term outlined in USPAP) is not always the same thing as "price estimate," which can mean whatever anyone (appraisers, users, non-users) wants it to mean because nobody has defined it and everyone is working from different definitions. USPAP cautions appraisers to "identify the exact definition of market value, and its authority, applicable in each appraisal completed..." I can't help but think this is one of the reasons why using exact definitions is important. When exact definitions aren't used, the kids at the front of the class get into semantical arguments. So where does that leave us? With the need to define the terms.

Since you can't even agree on what "price estimate" means, and you haven't identified what definition of market value you're using, this debate will never resolve itself.

I very well understand what each of them means !!! You are making a 100% wrong assumption that I do not.
And your incorrect assumption adds nothing to the thread. It makes me think you either have a reading comprehension problem (or some personal agenda ). Read my thread from the start and tell me what possible truth there is to what you said.

 

[J Grant]

As my comrades above note, it's just arguing definitions and semantics. I will never understand why you can't agree with the statement "Market value is an opinion of the most probable price, so it's a price opinion" but it's okay. Happy Holidays!

Sorry my friend but your comrade was being an azz, and it is not just a matter of semantics, it goes to the heart of what an appraisal is and what it is not.

If what you say above is true, then you need to put that as the purpose of the appraisal. But you are not signing off on an appraisal statement of
" Purpose of the appraisal is derive an opinion of the most probable price " .... are you....or what does it say at the top of the URAR form ?

 

[J Grant]

Market Value is described in the Uniform Standards of Professional Appraisal Practices (USPAP) as “a type of value, stated as an opinion, that presumes the transfer of a property (i.e., a right of ownership, or a bundle of such rights), as of a certain date, under specific conditions set forth in the definition of the term identified by the appraiser as applicable in an appraisal.”

Where does USPAP define it as a price opinion ? ( rhetorical question, I fail to see that in USPAP, if anyone else can find it in ISPAP please post it )I

 

[J Grant]

If we are giving price opinions, then we are doing a BPO, or version of it, then that becomes a whole other product maybe consulting, lots of issues around it - wrt USPAP

Appraiser saying a market value opinion is a price opinion...??

 

[Terrel L. Shields]

My head is spinning from another thread where people were saying a price estimate or price prediction and a market value opinion are one and the same . They are not.

The only difference is in "defining" what is an estimate and what is an opinion. If the two are not the same, then one or the other...or both are wrong.

 

[J Grant]

The only difference is in "defining" what is an estimate and what is an opinion. If the two are not the same, then one or the other...or both are wrong.

It is not up to me, it is up to USPAP.
Topic was about an opinion of value vs an opinion of price ( not whether it is an estimate or an opinion )

But since you introduced it, I am not sure what an estimate even means under USPAP? can you find it for me ? ( no time thanks )

 

[CGinMN]

JG I'm not sure what I said that got you defensive, but I'm basically in agreement with you. Market value has a specific meaning to appraisers, price estimate does not. So unless the appraiser defines market value as an estimate or prediction of price, then by definition they are not the same thing.

 

[J Grant]

JG I'm not sure what I said that got you defensive, but I'm basically in agreement with you. Market value has a specific meaning to appraisers, price estimate does not. So unless the appraiser defines market value as an estimate or prediction of price, then by definition they are not the same thing.

Thanks, I believe I misread your post.

Indeed, a market value opinion is what it says it is . It is not a price opinion, nor is it a price estimate.

 

[Terrel L. Shields]

To paraphrase Santora from long ago, people don't care about the market value, they just want to know what it is worth. That can be defined 500 ways.