What is assessed by a "real estate appraisal"?

A real estate appraisal primarily assesses the market value of a property. This process involves a thorough analysis to determine the most probable price that the property would bring in a competitive and open market. The appraiser looks at various factors, including the property’s location, condition, comparable sales in the area, and current market trends.

While the other options can be relevant in specific contexts, they do not encompass the primary aim of an appraisal. For instance, rental income potential might be considered when evaluating investment properties, but it is not the main focus of a standard appraisal. Similarly, historical value pertains to how the property has changed over time and does not directly reflect its current market value. Lastly, assessing architectural integrity could be a part of a broader property evaluation, especially in the context of renovations or restorations, but it does not directly relate to the appraisal of market value. Overall, the appraisal process is centered on establishing what a buyer would likely pay for a property in the existing market conditions.