What is the main purpose of an appraisal in real estate?

The main purpose of an appraisal in real estate is to provide an estimate of value for a specific property. This process involves a licensed appraiser evaluating various factors, including the property's location, condition, and comparables in the market to determine its fair market value. This valuation is crucial for various stakeholders involved in a transaction, as it helps buyers, sellers, and lenders make informed decisions.

While establishing a sales price may be an outcome of an appraisal, the appraisal itself focuses on assessing the property's value rather than directly setting a sales price. Negotiating property taxes can be influenced by an appraisal, but this is not the primary aim of the appraisal itself. Certification of property condition pertains more to inspection processes than appraisal, as appraisals primarily focus on value rather than the physical state of the property. Thus, the correct choice emphasizes the core function of an appraisal in providing a clear estimate of a property's market value.