What is it called when an appraiser determines that a property is valued less due to market trends over time?

The scenario described pertains to a situation where an appraiser recognizes that a property's value has decreased over time due to ongoing market trends. This decline in value is commonly referred to as "depreciated value."

Depreciation can occur for various reasons, including physical wear and tear, economic changes, and shifts in market demand that affect property values. In the context of real estate appraisal, when an appraiser assesses a property's worth and finds that it has depreciated, they take this into account to arrive at a value reflective of its current market condition.

This concept is vital for appraisers, as understanding depreciation allows them to provide accurate and fair property assessments that align with economic realities. While other terms like "time-adjusted value" or "adjusted market value" may relate to changes in pricing due to adjustments over time or market comparisons, they do not specifically capture the idea of a value decrease that results from depreciation in the property itself.

Therefore, the identification of "depreciated value" as the term that best fits this situation highlights the appraiser's role in recognizing and quantifying the impact of market trends on property values over time.