What is an appraisal?
An appraisal is a service where a professional appraiser, who is proficient in the particular field, evaluates a property and prepares a formal assessment of its value. Vehicle Value Experts currently provides appraisals for most vehicle types:
- Motor homes
- Travel trailers
- And others!
We also provide the following services:
- Appraisal Clause Activities (insurance policy contract claim resolution)
- Appraisal of Physical Damage and Correction (auto body repair, cosmetic repair, insurance claim)
- Value Assessments (classic, custom, exotic value, etc.)
- Total-loss Replacement Valuations (pre-loss Actual Cash Value (ACV), Salvage Value, etc.)
- Estate Liquidation and Settlement Valuations
- Insurance Coverage (Stated Value, Appraised Value, Replacement Value, etc.)
- Dissolution of Marriage Property Settlements
- Bankruptcy Proceedings (Chapter 11 reorganization, Chapter 7 liquidation, etc.)
- IRS Tax issues (donated vehicle, casualty loss deduction, depreciation, etc.)
You may be familiar with appraisals of real estate, fine jewelry, and art. Appraisal of a motor vehicle appraisal is very similar to those types of valuation appraisals. A qualified expert thoroughly inspects the vehicle, performs market research, and renders an opinion of the vehicle’s monetary value range. The results may vary by appraiser, because an appraised value is the expert opinion of the assigned appraiser and is based upon their own interpretation of the vehicle’s condition, research, and findings.
You should be careful to select a competent appraiser. A basic rule to consider when seeking a qualified and competent appraiser is to not base your selection on price alone. Remember the old sayings, “Cheaper is rarely better, and better is rarely cheaper” or “You get what you pay for”.
How are appraisals used?
An automotive appraisal is used to help establish the value of a particular vehicle at a specific point in time.
The appraisal may be used to certify a vehicle’s value in order to:
- Secure a loan
- Begin, renew, or update insurance coverage
- Meet IRS requirements
- Help resolve a legal issue, such as donation, bankruptcy, divorce, or estate liquidation
- Determine a vehicle’s diminished value
- Determine a vehicle’s pre-loss value, when negotiating a total-loss recovery
There are other reasons for a vehicle appraisal, including, but not limited to:
- Verifying the condition of a vehicle prior to lease turn-in (no damage or, if damaged, the reasonable cost of repair)
- Valuation for true “residual value”
- Determining a fair replacement value of a vehicle determined to be a total loss
- Establish loss in value (“diminution”) due to chronicled accident reports
Insurance policy contracts may have an “Appraisal Clause” which calls for both parties to secure the services of independent appraisers to aid in settlement of claim disputes. Vehicle Value Experts offers its services to either party, which enables us to help clients whether they are insurers, consumers, legal professionals, or corporate or state officials. Because of this balanced client base, Vehicle Value Experts ensures fair and unbiased services that other appraisers — those who only assist either defendants or plaintiffs — cannot.
What kinds of vehicles can be appraised?
Most property can be appraised. Our Vehicle Value Experts have been called upon to appraise:
- Tractor trailers
- Travel trailers
- Other associated personal property
Contact us for a no-obligation consultation to see how we can best help you!
How is Appraised Value determined?
To ensure accuracy, Vehicle Value Experts begins each appraisal by consulting with the vehicle’s owner or representative to ascertain relevant information, such as specific needs or instructions.
Then one of our qualified experts does a thorough inspection of the vehicle to determine its overall condition, including function, appearance, equipment (factory and/or custom), maintenance (original, restoration, customized, etc.) and damage history, and other information that is pertinent to establishing the vehicle’s value.
Next, we conduct a market search to determine the vehicle’s “Fair Market Value” by comparing the values and sale prices of other similar, comparable vehicles in the same general marketplace, making appropriate deductions and additions where applicable.
We then determine a “Book Value” using accepted published value guides, such as Kelley Blue Book, NADA, Black Book, and CPI-Cars of Particular Interest.
Finally, we prepare a report of the research findings, customized to the client’s specific needs. The report is certified to permanently record the valuation information. Vehicle Value Experts retains copies of the reports for a limited period of time — usually 1 to 2 years — so we can more easily help you further, should the need arise.
IMPORTANT NOTICE: Vehicle Value Experts does not provide legal or financial advice and strongly recommends each user of this site seek a qualified professional familiar with any applicable legal and/or tax issues. For further clarification regarding the use of this site please visit our DISCLAIMER.