The purpose of a relocation appraisal is to accurately estimate the "anticipated sales price" for a relocating employee's property, based on the current market exposure time.  The key element in the relocation appraisal report is forecasting which is an analytical adjustment based on market conditions.  For the homeowner and the corporation that may end up with the homes, the most important aspect of the relocation appraisal process is learning the anticipated sales price and understanding how it was reached. 

The relocation appraisal process can seem confusing to homeowners. Therefore, it is important that an experienced relocation appraiser be used to ensure knowledge and understanding of the relocation appraisal process.

Appraisers follow a set of accepted guidelines and practices known as the Canadian Uniform Standards of Professional Appraisal Practice(CUSPAP), which govern the ethical and legal aspects of the appraisal reporting process.  Relocation appraisers must follow a set of guidelines and instructions set forth in ERC'S Residential Appraisal Report. 

Depending on the appraisal's purpose and type, its size and detail will vary.  The relocation appraisal commands a more thorough analysis than the typical residential appraisal, which is performed on the standardized report for mortgage appraisals and other purposes.

When an appraisal is completed for a relocation, the appraiser may spend from one to two hours inspecting the interior and exterior of the home.  The appraiser will pay special attention to the overall interior condition, decor and appeal of the home.  In addition to the standard exterior photos that are taken of the front, rear and street views of the home, the relocation appraiser will take interior photos of every room in the home, including the bathrooms and basement.

During the inspection, the appraiser will spend several minutes in each room, carefully noting its condition and decoration, and will complete a sketch of the floor plan.  Although a clean home can indicate a home that has been well taken care of, the overall maintenance of the home is of primary interest: Are the walls, flooring and floor coverings in good shape?  Are the built-in appliances in good working order?  Are the mechanical systems (plumbing, electrical, heating and cooling) functioning properly.The relocation appraiser also will interview the transferee extensively regarding the features of the home and any improvements that might have been done by the homeowner.  

To do a proper relocation appraisal, the appraiser needs the most accurate information obtainable about a home.  During the initial interview to set up the appointment the appraiser will ask various questions about the home.  The information includes, but is not limited to, the style of home, the homes age, garage/room/bed/bathroom count, and any remodeling or addition work that has been completed.  This information allows the appraiser to research more accurately available market data sources prior to inspecting the home.

Typically, the appraiser will ask the transferee to prepare information in advance for discussion during the appointment.  This list includes, but is not limited to, a recent tax bill, survey, floor plans, list of improvements, list of items staying with the home, any known comparable sales, mortgage information, etc.

After the appraisal is completed, it is submitted to the relocation company.  The appraiser follows the guidelines and uses knowledge based on techniques learned in classroom education, industry-sponsored conferences and experience in the field to arrive at a logical conclusion regarding the value of the home.