Picture this scenario. You need an appraisal for your vintage car collection, inherited artwork, or estate settlement. You’ve heard online appraisals are an option, but a friend warns you they’re “not real appraisals.” Your neighbor says insurance companies won’t accept them. Someone online claims they’re just automated estimates that throw out random numbers.
Who’s right?
The truth is, there’s significant misinformation about online appraisals. Much of it stems from confusion about what an online appraisal actually is, or outdated assumptions about remote valuation methods. We’re here to clear up the most common myths so you can make an informed decision about whether an online appraisal is right for your needs.
This is the concern we hear most often, and it makes sense. How can someone accurately value your property without physically examining it?
Here’s what you need to know. Online appraisals conducted by credentialed professionals can be just as accurate as in-person appraisals when done properly. The key difference isn’t accuracy—it’s methodology.
Key Point: The accuracy of an appraisal depends on the appraiser’s qualifications and methodology, not whether they physically visit your property.
Instead of scheduling a site visit, a qualified appraiser reviews detailed photographs, documentation, and records that you provide. For many items— artwork, vehicles, personal property, firearms, equipment, and even some real estate—this information is sufficient to conduct a thorough, professional assessment.
Several factors make an online appraisal accurate. The appraiser must be credentialed with recognized organizations like the Appraisers Association of America (AAA) or International Society of Appraisers (ISA). The appraisal must follow USPAP (Uniform Standards of Professional Appraisal Practice)—the same standards that govern all professional appraisals. The appraiser uses the same research methods, market analysis, and valuation approaches they would use on-site. You provide comprehensive photos and documentation of the item’s condition, provenance, and relevant details.
Important: Some situations require an in-person evaluation. High-value items, complex properties, or jewelry that needs physical inspection by a certified gemologist should be appraised on-site.
This myth causes enormous confusion. When people ask, “Do you trust online home value estimates or rely on professional appraisals?” They're often comparing two completely different things.
Automated Valuation Models (AVMs) are those instant estimates you get from real estate websites. They use algorithms and public data to generate ballpark figures. They’re useful for getting a general sense of property values in your area, but they are not appraisals.
AVMs like Zillow’s Zestimate are generated by computer algorithms, use public data only, don’t account for your property’s specific condition, upgrades, or unique features, cannot be used for legal, tax, or insurance purposes, and often show wide ranges or inaccurate estimates.
Professional online appraisals are conducted by licensed, credentialed appraisers, include personal review of your specific property or item, analyze photos, documentation, and market research, result in formal USPAP-compliant reports, and are accepted for legal purposes, insurance claims, tax matters, and more.
Bottom Line: For anything involving insurance, legal matters, estate planning, or tax purposes, you need a professional appraisal—not an algorithm’s guess.
Some people worry that online appraisals won’t be taken seriously by institutions. This is false—as long as the appraisal meets professional standards.
What matters to banks, insurance companies, and the IRS isn’t whether the appraiser physically visited your property. What matters is that the appraisal is USPAP-compliant, the appraiser holds appropriate credentials, the report provides necessary documentation and analysis, and the appraisal meets the specific requirements for its intended use.
Fact: USPAP-compliant online appraisals are accepted by the IRS for charitable donation tax deductions exceeding $5,000, estate tax matters, insurance claims, divorce settlements, and probate court requirements.
If you’re unsure whether an online appraisal will work for your specific situation, check with the institution requiring the appraisal beforehand. In most cases, a professionally conducted online appraisal will meet their requirements.
Yes, online appraisals are typically more affordable than traditional in-person appraisals. But the cost savings don’t come from cutting corners—they come from eliminating logistical expenses.
The cost savings come from no travel time or mileage charges, no scheduling conflicts or delays, more efficient workflow for the appraiser, and lower overhead costs. What doesn’t change is the appraiser’s qualifications and expertise, the depth of research and market analysis, the quality and detail of the final report, and the professional standards followed (USPAP compliance).
Reality Check: Many online appraisal services employ highly credentialed professionals with decades of experience who bring the same level of expertise to online work as they would to in-person appraisals.
The real question isn’t whether online appraisals are “cheap”—it’s whether the service employs qualified professionals who stand behind their work.
This myth probably comes from experience with automated estimates that give you a single number with little explanation. Professional online appraisals are entirely different.
A quality online appraisal report should include a detailed description of the appraised item or property, methodology and approach used for valuation, market analysis and comparable sales data, research into provenance, condition, and relevant factors, clear explanation of how the appraiser arrived at the final value, supporting documentation and photographs, appraiser’s credentials and signature, and statement of intended use and any limiting conditions.
Actually, the online appraisal process is often simpler and faster than coordinating an in-person visit.
Here’s how it typically works. First, submit your request by providing basic information about what you need appraised and the intended use (insurance, estate planning, charitable donation, etc.). Second, get a quote when the appraisal company reviews your information and provides a clear quote for the service. Third, provide documentation by submitting photographs and any relevant documents (receipts, provenance, previous appraisals, condition reports). Fourth, the appraisal review occurs when a credentialed appraiser reviews everything, conducts market research, and prepares your report. Finally, receive your report as most appraisals are completed within one to two weeks; expedited services are available if you need it sooner.
Timeline: Most online appraisals are completed within one to two weeks, with expedited services available when needed.
Online appraisals work well for many situations, but they’re not always the right choice. Here’s a practical guide.
A reputable appraisal service will be honest about which approach makes sense for your situation. We’re not trying to force online services if an in-person evaluation would serve you better. Our goal is to provide the most accurate, credible appraisal—and sometimes that requires an on-site visit.
Online appraisals aren’t perfect for every situation, but they’re a legitimate, professional option that can save you time and money when used appropriately.
The myths we’ve addressed often stem from confusion between automated estimates and professional appraisals, outdated perceptions about remote valuation methods, lack of understanding about professional appraisal standards, and bad experiences with unqualified or unprofessional services.
Remember: The most important factors are the appraiser’s qualifications, the quality of their research and analysis, and whether the report meets your intended use requirements. Whether the work happens online or in person is often secondary.
For additional insights on appraisal topics, explore our Blog for expert guidance and industry updates.
If you’re still unsure whether an online appraisal will work for your needs, we’re here to help. Our credentialed appraisers can review your situation, answer your questions, and recommend the best approach for getting an accurate, defensible valuation you can trust.
Contact us today for a free quote. We’ll walk you through the process, explain exactly what you can expect, and ensure you get the professional appraisal you need, whether that’s online or in person. You can also view our pricing to understand the cost-effective options available for your appraisal needs.
