How do you appraise dental equipment?
On this page
- Key facts
- Step 1: Pick the standard of value
- Step 2: Build the inventory
- Step 3: Establish age
- Step 4: Grade condition consistently
- Step 5: Check support and compatibility
- What are the common inventory mistakes?
- Step 6: Hand it to an appraiser
- Which free tools help with this?
- How FloorStack helps
- Free tools for this step
- Frequently asked questions
- Sources
Start with the standard of value, then build a complete inventory with make, model, serial number, age and condition, and let a credentialed appraiser apply market evidence. The American Society of Appraisers defines at least 10 value terms, from fair market value to forced liquidation (ASA). In 2026, the inventory is the part you control.
This page is general information, not tax or valuation advice. Use a credentialed appraiser for a sale, loan or dispute.
Key facts
| Topic | What the source says | Source |
|---|---|---|
| Fair market value | Willing buyer and seller, no compulsion, reasonable knowledge, as of a specific date | ASA |
| Continued use | FMV in continued use is supported by (or assumes) the business's earnings | ASA |
| Liquidation | Orderly liquidation allows reasonable time; forced liquidation is an as-is auction with immediacy | ASA |
| Book value | Dental equipment's current value may be lower than book value | Dental Economics |
| One CPA method | 12-year straight-line life, then salvage typically 10% of historic cost; appraiser for large items | SVA |
| IT asset inventory | HHS says IT asset management should cover all endpoints, servers and network gear, and a well-designed spreadsheet can hold it | HHS 405(d) HICP Technical Volume 1 |
Step 1: Pick the standard of value
The same operatory can be worth very different amounts depending on why you're asking. The ASA defines:
- Fair market value in continued use: equipment staying in place in an operating practice, supported by the business's earnings (ASA). This is the usual standard for a practice sale.
- Fair market value, removed: the same, but considering removal to another location (ASA).
- Orderly liquidation value: a liquidation sale with a reasonable time to find buyers, as-is (ASA).
- Forced liquidation value: a public auction with the seller compelled to sell quickly (ASA).
- Replacement cost new: the current cost of similar new property with the nearest equivalent utility (ASA).
A lender may want liquidation value; a buyer and seller usually negotiate around continued use. Write the standard and the effective date on the engagement letter.
Step 2: Build the inventory
An appraiser can't value what isn't listed. Record, for every item:
| Field | Why it matters |
|---|---|
| Category and room | Groups like items; shows what's in each operatory |
| Make, model, serial number | Identifies the exact product and generation |
| Purchase or install date | Age drives depreciation and remaining life |
| Original cost (from invoices) | Basis for cost-based methods |
| Condition grade and notes | Adjusts value up or down |
| Service and repair history | Evidence of condition |
| Warranty and service contract | Transferable value |
| Software or license tied to it | Some devices only work with a licensed driver or PMS |
| Owned, leased or financed | Leased or liened items may not be the seller's to sell |
For the computers, servers and network gear, HHS's healthcare cybersecurity guidance says the inventory can be kept in a well-designed spreadsheet and should cover each asset's lifecycle from procurement to disposal (HHS 405(d) HICP). One list can serve your IT security and your appraisal. Start with the dental equipment inventory template or download the CSV (free download, coming soon).
Step 3: Establish age
Use invoices first, then the manufacturer's serial-number date codes, then install records. For x-ray units, the assembler files an FDA Form 2579 report with the purchaser and, where applicable, the state radiation agency within 15 days of assembly (FDA), so the practice or state may have a dated record.
Step 4: Grade condition consistently
Use a simple scale and apply it the same way to every item. A practical scale:
| Grade | Meaning |
|---|---|
| A | Like new; current model or one generation back; no repairs |
| B | Good; normal wear; fully functional; serviced on schedule |
| C | Fair; visible wear, known repairs, older generation |
| D | Poor; failing, unsupported, or needs replacement |
This scale is our working convention, not an industry standard; your appraiser may use their own. Photograph each item, including serial plates.
Step 5: Check support and compatibility
Technology loses value fastest when it's no longer supported. An imaging sensor that needs a driver your practice software no longer supports, or a computer that can't run a supported operating system, has little continued-use value. Check sensor and PMS compatibility and see used dental equipment value.
What are the common inventory mistakes?
- Listing rooms, not items. "Op 3, fully equipped" can't be valued. List the chair, delivery unit, light, sensor, intraoral camera and computer separately.
- Missing serial numbers. Without them, the appraiser can't confirm model generation or age.
- Mixing owned and leased gear. Leased or financed items need a separate column with the lender and payoff.
- Forgetting the back rooms. Compressor, vacuum, sterilizers, panoramic or CBCT unit, server and network rack often carry the most value or the most replacement risk.
- No photos. A dated photo of each item and its serial plate settles most condition questions.
- Stale lists. A list from the last tax year misses anything bought, moved or scrapped since.
Step 6: Hand it to an appraiser
Book value is a starting point, not an answer. Dental Economics notes that adjusted book value requires experienced appraisers to restate each asset to current value (Dental Economics). SVA, one CPA firm, uses a 12-year straight-line life with salvage typically 10% of historic cost, and recommends an appraiser for large equipment (SVA). We don't publish used-equipment prices; asking prices aren't sale prices.
Which free tools help with this?
The equipment inventory & appraisal report (free tool, coming soon) is planned to turn your equipment list into an appraisal-ready report. The device compatibility checker (free tool, coming soon) is planned to check sensors, imaging units and bridges against your practice software.
How FloorStack helps
FloorStack is a dental build-out platform that keeps the equipment record current. The free Equipment inventory & appraisal prep tool (coming soon) will turn your list into an appraiser-ready report with age and condition. The free Compatibility checker (coming soon) will flag sensors and software that won't carry forward. Floor Stack ($39/mo, billed yearly) keeps live inventory, specs, serials and warranty dates and flags end-of-life gear (FloorStack). Start today with the inventory template (CSV). More in the Dental Practice Appraisal hub and how practices are valued.
Free tools for this step
- Equipment inventory & appraisal prep tool: appraiser-ready inventory (free tool, coming soon).
- Dental equipment inventory template (CSV) (free download, coming soon): all the fields above.
- Compatibility checker: sensors, drivers and PMS support (free tool, coming soon).
Frequently asked questions
Can I appraise my own equipment?
You can prepare the inventory; for a sale, loan or tax filing, use a credentialed appraiser (SVA).
What's the difference between FMV and liquidation value?
FMV assumes no compulsion; liquidation assumes the seller must sell, as-is (ASA).
Is depreciated book value the appraised value?
No. Market value may be below book (Dental Economics).
Does leased equipment count?
Only what the practice owns can be sold; list leases separately with payoff amounts.
Do I need serial numbers?
Yes; they identify the model generation and age, and buyers' attorneys ask for model details (Jaffe Law).
How often should I update the inventory?
Whenever equipment is added, moved or retired; HHS says IT asset management should be part of daily IT operations (HHS 405(d) HICP).
Sources
More in Dental Practice Appraisal
- Used Dental Equipment Value Guide by Category and AgeWhat used dental equipment is worth in 2026: why there's no price list, how age, support and removal drive value by category, and a book-value-by-age table.5 min read
- Dental Chair Depreciation and Fair Market Value by AgeWhat a 10-year-old dental chair is worth in 2026: book value vs tax depreciation vs fair market value, the factors that move the number, and how to document it.5 min read
- Dental Practice Inventory Checklist for Sale or AppraisalA 2026 dental practice inventory checklist for a sale or appraisal: equipment, technology, supplies, leasehold improvements, leases, liens, licenses and logins.6 min read
- Equipment Due Diligence for Dental Practice BuyersThe equipment records a dental practice buyer needs in 2026: inventory, ages, service and repair history, leases and liens, x-ray and amalgam filings, logins.6 min read
- Technology Audit Before Buying a Dental PracticeHow to audit a dental practice's technology before you buy in 2026: OS and server support dates, backups, firewall, software licenses, BAAs and admin logins.6 min read
- Valuing Leasehold Improvements in a Dental PracticeHow leasehold improvements are valued in a dental practice in 2026: cost less depreciation, remaining lease term, who owns them at lease end, and tax treatment.6 min read