Indications of Value

An indication of value is generally understood to be a roughly estimated determination of the value level or a value range on the basis of the documents and information provided by the client and used as a basis without inspection. A site inspection is not or only rarely carried out. In addition, descriptive elements such as a comprehensive description of the location and property are not provided; the emphasis is placed on the computational presentation of the appraisal procedures and the textual documentation of the essential underlying facts. As a result, indications of value can only serve as an orientational guide, e.g. for the initial assessment for purchase or sale considerations or for the preparation of simple asset overviews. The advantages when compared to a full appraisal report are the lower costs and faster processing times. As a rule, value indications cannot be used for complex appraisal properties, especially when value-relevant rights and encumbrances exist or in the case of operator properties that require an intensive examination due to the business management aspects involved.