<P> An appraised value (United States) or mortgage valuation (Australia) pertains to the assessed value of real property in the opinion of a qualified appraiser or valuer . It is usually used as a pre-qualification & risk - based pricing factor related to the issuance of mortgage loans by a financial institution . </P> <P> When obtaining a mortgage, the funding lender relies on the standardized valuation methods of an appraiser to assess a monetary value for the specific piece of real property on which a loan will be secured (e.g. a residence). The lender will then justify the loan amount (and other risk - based pricing) factors as a percentage of the appraised value of the property . </P>

The monetary amount an appraiser says the real property is worth is the