Guide to Appraisal Practice for Attorneys
Understanding the fundamentals of how appraisals are developed and reported.
A Guide for Attorneys
As Appraisal Expert Witnesses, we deliver clear, defensible analysis and help simplify complex valuation disputes in high-stakes litigation. When two or more appraisal reports reach significantly different conclusions, attorneys, judges, and juries often face a critical question:
Which appraisal report is more credible and why?
Flawed analysis, misplaced assumptions, or lack of objectivity can cause differences in value, but just as often, those differences arise from how the appraiser identified the problem, applied their experience, and executed the process. This series helps attorneys unpack those layers to better understand conflicting valuation evidence.
Understanding these differences is key to evaluating appraisal evidence in litigation, settlement negotiations, or expert testimony.
Many people judge appraisal practice by its end product, the final opinion of value. However, just as a doctor’s diagnosis depends on lab results, clinical reasoning, and medical expertise, an appraiser’s conclusion derives its credibility from the underlying process. The opinion of value is analogous to a medical diagnosis: its reliability rests not in the statement itself, but in the evidence, analysis, and professional judgment that led to it.
That’s why we’ve developed A Guide to Appraisal Practice for Attorneys — a series of articles designed to help attorneys understand how appraisers reach their conclusions, why they may differ, and what may make one appraisal more credible than another.
Understanding Value Differences
This is one of the most common and frustrating questions attorneys ask. Whether you’re reviewing opposing reports or preparing your own expert, understanding how appraisers can reach different conclusions is essential. This three-part series from an expert witness view point explains the primary drivers behind differing value opinions: scope of work, experience and judgment, and execution and thoroughness. It also explores how these factors influence credibility, even when reports appear similar on the surface.
An Appraiser’s Scope of Work
Two appraisers can use sound methods and reliable data and still arrive at different conclusions. Often, the divergence begins with how each defined the assignment at the outset. This article explains how intended use, intended user, value definition, and other early decisions shape the rest of the appraisal. It also highlights how small differences in problem framing can lead to significantly different outcomes.
An Appraiser’s Experience and Judgment
Competency goes beyond experience. It involves the ability to define the problem, ask the right questions, and apply sound judgment within accepted standards. This article explains how differences in background and approach can affect appraisal outcomes, and what attorneys should consider when evaluating whether an appraiser had the tools to deliver a credible result.
An Appraiser’s Execution and Thoroughness
Execution is where appraisal credibility is earned or lost. This article explains how even qualified appraisers working from the same scope can reach different conclusions when their analysis lacks support or consistency, and when communication fails to tell the full story. Learn how to assess whether the work behind the value actually answers the right question.
Appraisal Practice vs. Law Practice
While appraisal and legal practice operate in different domains, both rely on structured reasoning, ethical boundaries, and professional judgment. This series is designed to help attorneys understand where appraisal standards align with legal expectations and where they diverge, enabling you to better evaluate the reports, experts, and evidence that shape your case.
Appraisers Must Avoid Advocacy
Appraisal experts are bound by ethical standards that prohibit advocacy, even in litigation. This article compares the roles and rules that govern attorneys and appraisers, helping legal teams understand why appraisers must remain objective and how that distinction affects strategy, communication, and credibility in court.
Federal Rules of Evidence and Appraisal Standards Requirements
Appraisal experts operate under USPAP, but their opinions must also meet evidentiary standards to be effective in court. The 2023 amendment to Federal Rule of Evidence 702 has raised the bar for admissibility, requiring closer judicial scrutiny of expert testimony. This article explains how FRE 702 and USPAP align and where they diverge, helping attorneys and clients evaluate whether an appraisal meets both credibility and admissibility requirements before it is presented at trial.
Appraisal Reports: What’s Written Matters
Appraisal reporting communicates the appraiser’s analysis and conclusions, and often determines whether the report gains or loses credibility. These three articles explain what attorneys need to know about how appraisers communicate their findings and where that communication can fall short. From overly narrow framing to vague or unsupported conclusions, reports typically fail not because of the value itself, but because of how the appraiser explains the reasoning. Understanding the mechanics of reporting is essential to knowing whether an appraisal will hold up or fall apart when it matters most.
Development of an Appraisal versus Reporting of an Appraisal
An appraisal report is only as strong as the reasoning it communicates. This article explains why the distinction between development and reporting matters, and how even well-supported analysis can lose credibility if the report does not clearly show how conclusions were reached.
Why Appraisal Reports Become Misleading
An appraisal expert’s reasoning must be communicated clearly, especially when the intended use is litigation. This article explains how overly narrow audience targeting and insufficient explanation can make a report misleading. It also outlines why credibility depends not only on what was concluded, but on how that conclusion is presented.
Understanding a Technical Review for Compliance and Credibility
Appraisal reports aren’t just about the number; they’re about how that number was developed, supported, and communicated. This article explains how an appraisal expert conducts a technical review to assess compliance, methodology, and reporting clarity, helping attorneys evaluate risk and credibility before the report reaches the courtroom.
Services for Attorneys and Expert Appraisers
We help attorneys and expert appraisers navigate the appraisal process with greater clarity, evaluate reports for credibility, and approach litigation with confidence.
Every litigation team needs appraisal work they can rely on, not just because the number looks reasonable, but because the analysis behind it can stand up to challenge. We help attorneys and expert appraisers ensure that reports are clearly communicated, technically sound, and aligned with both USPAP and legal expectations.
Whether you’re preparing a report for court, reviewing one you’ve received, or working with an expert who needs support, we offer neutral, technical insight into whether the appraisal tells the full story, and if not, where the gaps are. Our goal isn’t to advocate for one side, but to help ensure the valuation work holds up when it matters most.
Meet Our Experts
Nicholas D. Pilz, MAI, SRA, AI-RRS
Litigation LEad
An expert in appraisal theory, appraisal standards, and complex litigation management, Nicholas D. Pilz, MAI, SRA, AI-RRS specializes in coordinating multi-jurisdictional valuation assignments and reviewing appraisals for credibility and compliance. His focus includes project oversight, expert consulting, and expert witness services.
Ira Bellinkoff, MAI, CCIM
Litigation Support
With over a decade of experience supporting Nicholas D. Pilz on complex litigation assignments, Ira S. Bellinkoff, MAI, CCIM provides strategic project management and consulting services for appraisal experts involved in legal matters. His work includes multi-jurisdictional coordination, appraisal review support, and preparation of reports and experts for litigation. Ira focuses on delivering organized, defensible, and technically sound support throughout the appraisal process.
Ready to Talk?
Contact Nicholas Pilz by email nick@edgerealtyadvisors.com or call (407) 278-1471, or visit our Contact Us page to start a conversation.