Fair Market Value
“It’s only worth what someone is willing to pay you for it”. How many times have we all heard this old adage? But it is about as close to the textbook definition of a Fair Market Value as we can get when explaining it in simple terms. Sometimes though we run into certain situations where a number needs to be written down and have justification behind how that number was reached. Here in lies the Certified Fair Market Auto Appraisal. Let’s look at when this may be necessary.
- BUYING/SELLING/TRADING: Many lending institutions now require a Fair Market report before they are willing to finance cars. I see this to be very common among Classics and Exotics and Specialty Vehicles of all kinds. When selling, sometimes people are not sure of what to ask, especially if a car was left to them in a will by a relative or going through dad’s collection that sat in the barn for 30 years. In a volatile market, make sure you know the value of your trade-in before heading to the dealership.
- BANKRUPTCY/DIVORCE/ESTATE/DISPUTE: Many times, courts will require a Fair Market analysis of cars, trucks, boats, motorcycles, ATVs, etc… all in an effort to reach a fair settlement if legal matters should arise. They may also call the appraiser to testify under oath, maintaining the claims made in the appraisal report.
- CHARITABLE CONTRIBUTIONS: Donating cars can be a great way to help those in need. Not to mention it is a great tax deduction. Having a Fair Market Appraisal along with the correct IRS Forms that need to be filled out by a Certified Appraiser, can help you next tax season.
Fair Market Appraisals are essentially opinions. They are justified, educated, and researched opinions backed up by current market data, book values, and trends. The results are then compiled into a format that can be easily accessed by the end user.
Where can you get more information on a Fair Market Appraisal? Contact us for a FREE Consult. 833-888-VALU(8258)
Written by: Jim Berger Licensed Independent Adjuster & Appraiser Florida License #W694344
Certified Auto Appraiser