Which of the following is an example of a specific purpose for a limited appraisal?

A limited appraisal is conducted for a specific purpose and focuses on particular aspects of a property rather than delivering a complete market analysis. The correct answer—evaluating damages for insurance claims—illustrates a specific situation where a limited appraisal is necessary. This type of appraisal aims to assess the extent of damages to a property, often after an event like flooding or fire, which can help determine what insurance compensation may be warranted.

The evaluation of damages is distinct and focused on a singular aspect of the property, making it an ideal example of when a limited appraisal is applied. An appraiser would gather pertinent data and make a valuation solely based on the damage incurred, rather than assessing the entire market or other unrelated factors.

In contrast, determining market value for a sale, assessing property for tax purposes, and conducting a comprehensive market analysis involve broader evaluations of the property. Each of these would require more extensive data analysis and considerations beyond the limited scope of an appraisal focused specifically on damages.