ART APPRAISAL SERVICES, LLC

CHRISTINA V. WHITSON, ASA
314 Boyce Road
Charlotte, NC 28211
Accredited Senior Appraiser
American Society of Appraiser
704-442-5355

Types of values

The following information is offered to you, the Client, for your interest and education. You must trust to your appraiser to determine which value is most appropriate for the intended use of your appraisal.

DEFINITIONS OF VALUE according to the Uniform Standards of Professional Appraisal Practice: [From Soucy, Patricia C, and Smyth, Janella N., co-editors, The Appraisal of Personal Property, Principles, Theories and Practice Methods for the Professional Appraiser, ASA, 2005, p.1-3):

Fair Market Value: the price at which the property would change hands between a willing buyer and a willing seller, neither being under any compulsion to buy or sell and both having reasonable knowledge of relevant facts.

Market Value: The most probable price which a property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller, each acting prudently, knowledgeably and assuming the price is not affected by undue stimulus.

Marketable Cash Value: represents the anticipated net proceeds (or cash in hand) that would be yielded from the orderly sale of a property once all costs of sale were subtracted. It represents the amount not merely obtained (paid in full [including any buyer’s premiums, taxes, etc.] by buyer) but retained (received, net, by seller) from sale.

Replacement Value—Comparable: The price in terms of cash or other precisely revealed terms that would be required to replace a property with another of similar age, quality, origin, appearance and condition within a reasonable length of time in an appropriate and relevant market . Intangible provenance value is additive as appropriate.

Replacement Value—Cost New: Cost to replace a property with an equivalent or substitute which is new, using modern materials, techniques and standards which satisfies the description or use of the replace property. The present cost of replacing the property with one having the same quality and utility.

Replacement Value—Reproduction Cost: The total cost to reproduce a replica of a subject property at current costs. Replacement property would be constructed in a design and with materials consistent with the described piece of property being replaced by a qualified artist or craftsman.

Forced Liquidation Value: The most probable price in terms of cash or other precisely revealed terms, for which the property would change hands if sold immediately, without regard to relevant market.

Orderly Liquidation Value: The most probable price in terms of cash, or other precisely revealed terms, for which the property would change hands under required or limiting conditions in an orderly manner, generally advertised, with reasonable time constraints, in an appropriate and relevant market-place, with knowledgeable buyers.