Forced Liquidation Value
Appraisal Terms and Definitions
Forced Liquidation Value is a professionally estimated worth of the most probable price recognized by a forceful liquidation. The reason for a Forced Liquidation Value is that the seller's company is under duress and he/she is compelled to sell his/her asset(s) because he/she has a sense of immediacy, such as being forced to liquidate to meet a specific deadline. The seller needs to sell the assets as quickly as possible. The price of a Forced Liquidation Value is the estimated gross dollar amount that could be characteristically realized from a properly advertised and conducted public auction.
The results of prices set by a Forced Liquidation Value take into consideration location, difficulty of removal of the item(s) being sold, condition, adaptability, specialization, marketability, overall appearance and psychological appeal. The seller realizes that all assets are sold one by one, on a piecemeal basis, and the purchaser also acknowledges they are sold on the terms of "as is," and "where is." This means the item(s) are sold "as is", without any type of modification. The "where is" to the purchaser means the item(s) are the purchaser's responsibility for removing the assets at their own risk and expense. The purchaser acknowledges that the "as is" and the "where is" conditions provide that there are no warranties on the assets.
It should also be known that any type of an alteration, such as additions or deletions to the assets appraised, would change the psychological and/or monetary appeal, which would then change the ability to generate the value(s) previously estimated.
Maynards has worked in many cities and towns, and they have skillfully handled large-scale projects; we can take care of your auction and appraisal needs.