What term describes the value of a property to a specific investor?

Investment value refers to the specific value of a property to a particular investor, taking into account their individual investment criteria, goals, and circumstances. This concept recognizes that different investors may assign different values to the same property based on their unique perspectives, strategies, or financial situations. For example, one investor might see high potential for rental income from a property in a growing neighborhood, while another investor might perceive it as less valuable due to differing risk tolerance or investment objectives.

In contrast, market value represents the estimated price at which a property would trade in a competitive auction setting, reflecting general market conditions rather than personal investment perspectives. Appraised value is derived from a professional appraisal based on specific criteria and methodologies assessing a property's worth in the market, while book value is the value of an asset according to its balance sheet, which may not accurately reflect the current market conditions or an investor's perspective. Thus, investment value is the most appropriate term for describing the value of a property relative to a specific investor's situation.