The appraisal report is generally used to determine what?

The appraisal report is an important document that provides an unbiased assessment of a property's value based on a variety of factors, including location, condition, and recent sales of comparable properties. It is primarily used by lenders to determine how much they are willing to loan to a borrower. By establishing the current market value of the property, the appraisal helps lenders ensure that they are not lending more than the property is worth, thus mitigating their risk.

This valuation is critical because it sets the maximum amount of money that the lender will extend to the borrower, ensuring that the loan is secured by a property that holds sufficient value to cover the loan amount in case of default. Other options relate to aspects of property management or individual costs, but they do not directly pertain to the appraisal's primary function in the lending process.