Preparing a Fundamental Demand Analysis - Complex Property Assignments

The program focuses on developing a sound marketability analysis using the Six-Step process that serves as an underpinning of credible highest and best use conclusions. This is accomplished by building on an inferred market study that is used for commonly traded properties in a stable market where sales and rentals occur routinely. This program’s focus is on fundamental market analysis. It is used when valuing complex properties in volatile markets and often employs a discounted cash flow model.

Marketability analysis is property specific and can serve as an underpinning of credible highest and best use conclusions. The Six-Step process begins by defining the subject being valued and its market, considers and quantifies supply and demand factors which are processed to conclude a probable market capture which is the core question of clients authorizing an appraisal. Markets change over time. This factor is recognized in a DCF model and the analysis should not simply be a projection of the past but a forecast of the future.

This educational program will benefit both seasoned practitioners as well as new appraisers when using a peer tested and industry accepted technique. A fundamental market study provides support for inputs and conclusions. The program’s goal is achieved through interactive discussions relating the various steps in the Six-Step process to specific decisions required in these analyses.

The program will offer guidance in generating marketability analysis for complex properties in volatile markets. The program is flexibly designed to enhance communication styles and generate meaningful and well documented appraisals. It will stress the need to meet USPAP’s requirements which should strengthen the industry and protect the general public. A well written appraisal has many layers that are brought together by the six-step process. This program seeks to promote and maintain a high level of public trust in appraisal practice.