By Joseph T Ellington Jr – Licensed Residential Appraiser, Capital Valuations. Updated September 2026.
What “reconciled value” means in an appraisal
An appraisal may show several adjusted comparable-sale indications but ends with one supported opinion of value. Reconciliation is the appraiser’s explanation of how the evidence was weighed. It is not a button that “finds” extra equity, and the final figure does not have to equal the arithmetic average of adjusted sales.
Follow the evidence, not a formula
When using the sales comparison approach, an appraiser studies sales that compete with the subject and makes supported adjustments for material differences. Data quality, similarity, location, timing, and adjustment size all affect how persuasive a sale is. A more recent sale is not automatically the best indicator, and one with fewer total adjustments may still have an important difference. The Appraisal Institute describes the sales comparison, cost, and income approaches; the applicable approaches depend on the property and assignment.
| Comparable | Potential strength | Limitation to investigate |
|---|---|---|
| Recent sale in the same competing area | Location and timing | Size or condition differences |
| Very similar floor plan sold earlier | Physical similarity | Market change since its sale |
| Nearby sale with unusual concessions | Close geography | Terms may affect price comparison |
Why simply averaging adjusted prices can fail
Three sales may not be equally reliable. One may require fewer adjustments, another may show an unusual sale circumstance, and a third may represent a different buyer segment. A reasoned reconciliation discusses those differences and the limits of the data. Do not infer that a sale price, asking price, tax assessment or automated online estimate should be the final answer by itself.
What homeowners can check in a report
- Is the subject described correctly, including relevant area, condition and site features?
- Do the comparable sales resemble the property’s likely alternatives for buyers?
- Are material differences and market timing explained?
- Does the conclusion make sense in light of the evidence and any stated limitations?
If you discover a specific mistake in a lender-ordered appraisal, use the lender’s reconsideration of value process. A different opinion alone does not prove an error. Read our separate explanations of comparable selection and size adjustments for the underlying analysis.
Can a private appraisal settle a loan decision?
A private appraisal can inform a seller, owner, or other intended user under its stated scope. A mortgage lender may require its own appraisal or valuation process and decides the loan. For a private assignment in Virginia Beach or nearby Hampton Roads communities, contact Capital Valuations with the property and intended use.
