What is the focus of a prospective appraisal?

The focus of a prospective appraisal is on the future expected value of a property. This type of appraisal takes into account various factors such as anticipated market trends, upcoming developments, and economic forecasts that could influence the property's value in the future. Understanding future expected value helps appraisers and stakeholders make informed decisions about investments, financing, and potential resale.

In the context of appraisals, prospective value is particularly useful for buyers, investors, and developers who are assessing the potential profitability of a property based on future conditions rather than solely its current or historical performance. This approach is essential for planning and strategic decision-making in real estate transactions.