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담보감정평가의 이해
Mortgage appraisal is a way of estimating the economic value of the concerned subject for the purpose of taking out a mortgage on a loan and is done by creditors such as financial institutions (major banks, insurance companies, saving banks, trust companies and general enterprises etc.) To do this, several factors of the subject such as the condition of the subject, examination and confirmation for fact relevance and then suitability, authenticity etc. are reviewed. In other words, a general appraisal focuses on estimating the economic value of the subject land etc., while a mortgage appraisal concentrates not only on estimating the economic value but on examining if the subject’s economic value as a mortgage is appropriate.

The definition of a fair market price varies in every nation but recently an international appraisal standard has been established and most nations follow the definition in accordance with the international standard. In Korea, it defines the definition of a fair market price under “The Act of Real Estate Price Announcement and Appraisal” (thereafter “appraisal laws”) and its sub-rule “The Regulations on Appraisal and Valuation” defines the concept of fair market price.

A mortgage price is the estimated value for the purpose of mortgage appraisal. The mortgage price is calculated by what a knowledgeable buyer would probably pay to a knowledgeable seller in the real estate market.
People can obtain financing or a loan to purchase or secure against the property from financial institution so that the most important thing in estimating mortgage price is the subject’s marketability.