This research evaluates the appraisal techniques employed by property developers in Lagos metropolis with a view to addressing the basic problems involved in investment appraisal as well as the adoption of modern appraisal techniques. Structured questionnaires were administered on a total sample size of 190 Estate Surveying and Valuation firms in Lagos while 129 were retrieved. The study found that payback period, accounting rate of return and internal rate of return were the most used traditional methods of appraisal techniques. Also, a low level of usage of the modern appraisal techniques was noted. The study revealed that the choice of viability techniques were based on appropriate viability criteria, ability of the method to consider basically the returns inherent and the simplicity of the technique were the major reasons influencing the choice of development appraisal techniques. Issues associated with wrong use of development appraisal techniques included performance deviating from investor’s objectives; actual returns in variance with expected returns. The study concluded that there is a need for the adoption of more appropriate development appraisal techniques in the evaluation of projects so as to improve the performance of the investment and development market thereby restoring investors’ confidence. The study therefore recommends that Estate Surveyors and Valuers should embrace modern techniques that incorporate risks to further enhance the accuracy of appraisals in line with global best practice. Also, the Nigerian Institution of Estate Surveyors and Valuers should organize seminars and conferences on modern appraisal techniques now in vogue.