Appraisers and Their Magic Numbers

The difference between appraisers and local automotive soothsayers ; the real numbers.

Daniel Curtis

1/13/20253 min read

What is an Appraisal?

An appraisal is a professional opinion of value for a specific item performed by an unbiased third party. Appraisals can be performed on a number of items from personal belongings such as watches, jewelry and automobiles all the way up to commercial properties and churches. Here at Classic Auto Appraiser, we focus solely on collectible automobiles and motorcycles because we believe appraisers should be competent and experienced in the areas they appraise. Just as there are all sorts of people in the world there are also all kinds of appraisers from different backgrounds with different formative experiences. These differences often work themselves out amongst appraisers in different appraisal values. Yes, values of a given object need to be close to be genuine (more times than not), but every appraiser will have a different process and way of gathering information and assessing what's in front of them. I don't believe there is just one way in which appraisers should value objects, but those appraisals should focus on three factors: authenticity, transparency, and functionality. If the appraisal isn't from an authentic unbiased third party acting as an appraiser, an individual with a vested interest could skew value in either direction. Appraisals must also be transparent, there shouldn't be any hidden info and the appraisal and it should be understandable to all parties involved. Most importantly if it doesn't function as an appraisal then it isn't one. Having a mystical car guru divine a value at a local Food Lion parking lot for three coupons and some pocket lint won't fly when it comes time to present a value to your insurance company.

The Factors Behind the Numbers

Some people in the industry would try to twist your mind with aimless rules that have nothing to do with appraising. Rules often stated by adjusters that, "the comparable vehicles should be within a 25 mile radius of the address of the vehicle lost" or "condition isn't a factor, we only focus on year, make, model...". These are sadly phrases I've heard in the industry over and over and they couldn't be further from the truth. Yes, it's nice to find comparable examples in your local market but for most folks I work with those don't exist. Even on more daily driver oriented vehicles buyers are very particular about what they buy and should be given comparables that reflect their carefully selected car's mileage and condition. Many companies will assess condition of a subject (or loss) vehicle but not many will then assess the comparable vehicles for similar mileage and/or condition. This is when I often get on my soap box concerning how CCC and Mitchells are incapable of assessing your vehicle due to program limitation. Since these programs cannot assess your vehicles condition they are left "blind" in that area, often this is compensated with an appraisers assessment, but even then the program still lacks an assessment feature for condition of selected comps. This is the major advantage of having a third party appraiser. An appraiser will select comps that align with your vehicles condition, unlike programs which can only align data points. Yes, the technology is available for photos to be processed like data points, this is already being developed as I type, but until it is implemented in mainstream appraisal programs your best advocate for a representative appraisal is a flesh and blood appraiser.

Why You Should Care?

Magic numbers from blind programs or local automotive soothsayers should be enough to make you care. Any misrepresentation of your vehicle affects what you are compensated for should the worst happen and your car be totaled. The best man, or woman, for the job is an unbiased third party appraiser and their input is invaluable as it can often recover thousands of dollars on a claim with minimal investment. Most appraisers charge between $550 and $750 for this service and many are available for free consultation to help you determine if the investment is worth it for your situation. We at Classicautoappraisal.com happily give free consultations to anyone considering an appraisal.

Conclusion: The Importance of Appraisals

Appraisals aren't just magic numbers, they are thorough assessments that contribute to a thoughtfully determined value performed by an individual who unbiasedly scrutinizes your car to generate a representative value that benefits all parties. Without appraisers and their ability to appraise assets there would be no recourse to rightly compensate those who are due a fair and unbiased valuation.