First it is important to understand the various types of value that one can define for a property. These fall into several categories:
1. Replacement value
2. Investment value
3. Market value
Each of these valuations serve a purpose. For example, one would use replacement value for insurance valuations. If you were purchasing property for investment or assessing a real estate portfolio in comparison to other investments then the investment value would be most useful. If you were looking to sell a property or determine the fair market value of your property then a market value assessment would be the most appropriate evaluation to look to.Continue reading ..