Conservation Easement Appraisals
A General Certified Appraiser is qualified to make appraisals of conservation easement. The IRS, and also the donee organization, prefer an appraiser who has completed the Conservation Easement Course through the Appraisal Institute. The final appraisal report must include a listing of the appraiser's background and qualifications, especially regarding appraisals of easements. The appraiser cannot be a person whose relationship to the taxpayer or the donee organization would cause a reasonable person to question the independence of such an appraiser.
The Before and After valuation is the preferred methodology. The before and after method is used to determine whether, and the degree to which an easement changes a property's use and value. The value of the property before the easement is estimated at its highest and best use. The value of the property after the easement is estimated at its highest and best use. The difference between the before and after value estimates is the value of the easement. The terms of the easement are recorded in a deed.
Our office does have the qualifications and expertise to handle these types of appraisals. We are also qualified to perform Yellow Book appraisals.