What is the purpose of an appraisal?

The purpose of an appraisal is to determine the current market value of a property. A licensed appraiser will compare the property in question to other properties that have sold within 90 days of the date the appraisal was requested and will consider properties with similar characteristics and criteria such as location, square footage, number of bedrooms and bathrooms, amenities, etc… to arrive at the final estimate of value.