DISASTER INDEX
40 | APPRAISAL BUZZ FALL 2020
Throughout modern history, real estate has been
subject to hundreds of detrimental conditions,
environmental spills and crime scenes. However,
even the many lessons learned in the last few
decades could not prepare us for COVID-19.
For a profession that is founded on researching
historical market data and trends, there is simply
nothing to reference. There are no sales
comparables, paired-sales, capitalization rates, or
literature that relate to the topic of modern
pandemics and real estate value. We have
entered completely new territory. Until now,
detrimental conditions have impacted a single
world-wide event that has crippled the global
economy.
In spite of the challenges, we can deduce some
general impacts. Unlike the stock markets, which
can turn on a dime like a speed boat, the world of
real estate is more like an enormous cruise ship.