FTI Experts’ Hub: Why Property Valuations Diverge

March 30, 2026

Mark Dunec of FTI Consulting joins CPE’s Laura Valean to discuss what’s driving disconnects in CRE pricing and how to reduce the risk of appraisal surprises.

Headshots of Mark Dunec & Laura Valean — Higher interest rates, tighter credit conditions and evolving tenant behavior are contributing to what Dunec describes as a “profound structural reset” in property valuations across sectors, particularly in office. *Image by peshkov/iStockphoto.com*

At a time when capital markets remain volatile and fundamentals continue to shift, property appraisals are no longer a straightforward exercise. In this episode of FTI Experts’ Hub, Commercial Property Executive Senior Editor Laura Valean sits down with Mark Dunec, co-leader of Real Estate Valuation Services at FTI Consulting, to unpack a common challenge in today’s commercial real estate market: diverging property valuations.

While differences in appraisals are often most visible in litigation settings, they can also stem from deeper issues, ranging from inconsistent assumptions and flawed methodologies to a fundamental misunderstanding of the valuation problem itself, according to Dunec.

Licensed appraisers and standardized frameworks play a critical role in maintaining credibility, especially in a market where financial decisions hinge on accurate and defensible valuations.

In this podcast, Dunec shares real-world examples illustrating just how wide valuation gaps can become, and why not all “opinions of value” carry the same weight.

If you’re a CRE professional navigating refinancing, acquisitions or asset management decisions, this episode will offer you a timely and practical look at how valuations are being formed today, and how to avoid costly surprises in an increasingly complex environment.

Here’s a breakdown of the conversation:

(1:23) Why there’s more divergence in practice today
(2:19) Certified appraisers vs. other professionals offering opinions of value
(5:11) USPAP adherence
(6:42) Why incorrect problem identification is “ground zero” for valuation discrepancies
(9:53) Confusion between market value and investment value
(12:02) Common reasons why valuations differ even when professionals are certified
(18:02) How the current economic environment is influencing appraisal outcomes
(19:05) A structural reset or cyclical repricing?
(19:50) Typical mistakes when commissioning a valuation today
(20:58) How to reduce the risk of appraisal surprises
(21:40) Valuation volatility across property types
(22:50) Where property valuations will be trending in the U.S.