Fair Value, Market Value, Fair Market Value

After completing this seminar, participants will be better able to

• Recognize situations where appraisers may disagree regarding the proper interpretation of value definitions.
• Recognize the proper application of two business valuation premises: the going-concern premise and the liquidation premise.
• Identify circumstances in which the value of real property is different in the going-concern premise than in the liquidation premise. 
• Paraphrase the definition of contributory value and distinguish contributory value from market value on a standalone basis.
• State how the definition of value in use has changed and recognize how contributory value is used in its place.  
• Compare and contrast two definitions of fee simple and recognize how the definitions could impact a value opinion for a property subject to a lease(s).
• Compare and contrast two market rent concepts.
• Compare and contrast fair value and market value. 
• Report how analysis of highest and best use for a fair value determination may differ from analysis of highest and best use for a market value opinion in some assignments. 
• Recognize situations where courts may interpret fair market value to be more akin to fair value than to market value and explain how differences in interpretation of definitions can result in disputes. 
• In situations where definitions are insufficient to convey assignment results, provide reports that include any comments needed to clearly indicate to the intended users how the definitions are being applied.