What is appraisal smoothing?
Lag and dampening in appraisal-based indices (such as NCREIF’s) relative to actual market movements, because appraised values update slowly and trail closed-transaction pricing at turning points.
Where you will use it: this term comes up in the Real Estate Finance course, and the full course glossary collects every term in one place.
Related terms
From the free Real Estate Finance course by Devon Coombs, CPA, MBA.