The Appraisal Confirmation Letter is a critical document in Philippine real estate practice that formalizes the professional relationship between a licensed appraiser and their client. This document is typically used when a property valuation is required for various purposes such as sale, purchase, mortgage, insurance, or regulatory compliance. The letter must comply with the Real Estate Service Act of the Philippines and related regulations, including standards set by the Professional Regulation Commission. It serves multiple purposes: confirming the scope of work, establishing professional fees, setting timelines, and documenting methodology. The document is particularly important in the Philippine context as it provides legal protection for both parties and ensures compliance with local regulatory requirements for professional appraisal services.
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1. Letterhead and Date: Professional letterhead including appraiser's license number, contact details, and date of letter
2. Recipient Details: Full name and address of the client requesting the appraisal
3. Subject Property: Clear identification and description of the property to be appraised
4. Scope of Work: Detailed description of the appraisal services to be performed
5. Purpose of Appraisal: Specific intended use and users of the appraisal
6. Timeline: Expected completion date and key milestones
7. Fee Structure: Professional fees, payment terms, and any additional costs
8. Methodology: Brief overview of the valuation approach to be used
9. Professional Credentials: Confirmation of qualifications and relevant certifications
10. Closing and Signature: Professional closing, signature block with license details
1. Conflict of Interest Statement: Required when there are potential conflicts that need to be disclosed
2. Special Assumptions: Include when specific assumptions or limiting conditions apply to the appraisal
3. Regulatory Compliance: Added when appraisal must meet specific regulatory requirements (e.g., BSP regulations)
4. Client Instructions: Include when client has provided specific instructions that affect the scope or methodology
5. Confidentiality Terms: Required when dealing with sensitive information or specific confidentiality requirements
1. Property Details Schedule: Detailed description of the subject property including lot area, improvements, and location details
2. Fee Schedule: Detailed breakdown of professional fees and payment terms
3. Required Documents: List of documents needed from the client to complete the appraisal
4. Scope of Work Details: Comprehensive explanation of methodology and process to be followed
5. Professional Qualifications: Detailed CV or professional qualification documents of the appraiser
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