The formal evaluation of on going performance and trends and ascertaining the value of an immovable property is termed as an appraisal in the world of real estate business. Appraisals in a layman sense can be understood as appraising the present market value of the property. The assessment of the market value helps the buyers to know the appropriate value so that one does not have invested above the estimated value. The value estimated is based on three factors cost of the property, sales comparisons and the source of income. A real estate appraisal is generally performed by a licensed or certified appraiser. The market value usually differs from one place to another and no two properties are identical and don't have a same value.