How are appraisals from Allegro Appraisal & Valuation different from inexpensive appraisals one can order from a website, or those provided by piano technicians or piano dealers without an appraisal education?

It is important to understand an appraisal is a legal document created to assist individuals and entities in making financial decisions. It takes a formal education in the principals of personal property valuation, research and analysis, report writing, case law and ethics to be able to create a report, written or verbal, that will stand the scrutiny of insurance adjusters and actuaries, IRS agents and the courts.

I‘ve had clients contact me after they paid for what they thought was an appraisal only to have it rejected by their accountant or insurance provider because it did not fit the purpose or follow the accepted methodology - or worse, they made decisions about insurance coverage based on an unproperly researched low replacement value - and found out after the loss of their piano in a fire, flood or while being transported.

To be affiliated with the ASA, I am required to provide appraisals that are compliant with the Uniform Standards of Professional Appraisal Practice (USPAP) and I receive reoccurring training on that standard as the law and regulations evolve. Appraisals compliant with USPAP are required by the IRS, insurance companies and other legal and accounting professionals.

I’m interested to know the value of my piano. Do I need an USPAP-compliant appraisal?

For those simply curious about what they might be able to sell their instrument for a simple, lower-cost valuation service can be provided. It involves doing market research for you so that you can get a understanding about what kind of asking price might be appropriate. Feel free to be in touch to discuss!

What is an Appraisal?

Put simply, an appraisal is an informed opinion of value, however, appraisals can come in many different forms and degrees of complexity, depending on the intended use and users of the appraisal report information. It is created to be relevant to those that will be reading it and perhaps unfamiliar with what a piano is and the markets where they are sold.

The value of personal property items is often up for debate, whether in divorce settlements, tax assessments, or sales of property. A professional appraiser helps clients by providing a written or verbal opinion of value.

Rather than being just an intuitive "guess" or based on an outdated “depreciation” scale, a professional appraiser's value conclusions are based on prescribed methods of valuation, market research, and report writing.

What is USPAP?

USPAP is the acronym for the Uniform Standards of Professional Appraisal Practice. These standards are the generally recognized ethical and performance standards for the appraisal profession in the United States, Canada and Mexico.

USPAP was adopted by Congress in 1989, and contains standards for all types of appraisal services, including real estate, personal property, business and mass appraisal. Pianos fall under the category of Personal Property. This standard is updated every other year and those affiliated with appraisal organizations like the American Society of Appraisers (ASA) are required to get update training with each new edition as federal law and case law continually evolve and effect USPAP’s content. While this standard has a lot to do with real estate, it contains sections that clearly apply personal property like musical instruments. Federal agencies that handle appraisals submitted with tax filings have also been trained in USPAP and will be looking for adherence. Accounting, legal an insurance professionals that handle appraisals will also be looking for the methodology the standard outlines.

What is a ‘qualified’ appraiser?

The term qualified appraiser means an individual with verifiable education and experience in valuing the type of property for which the appraisal is performed and has successfully completed (for example, received a passing grade on a final examination) professional or college-level coursework in valuing the type of property and has two or more years of experience in valuing the type of property. Coursework must be obtained from an educational organization, generally recognized professional trade or appraiser organization, or employer educational program. (26 CFR § 1.170A-17)

Personal Property Appraisers are not licensed like Real Estate Appraisers, so how do you know if your appraiser is qualified to provide the type of appraisal you require?

A competent, qualified appraiser has documented formal education in appraisal theory, principles, procedures, ethics, and law and will be affiliated with a recognized appraisal association like the American Society of Appraisers (ASA).