Simple Techiques On Property Valuation!
This article contains a simple techiques On Property Valuation.
Valuation of real estate property is needed if one intend to sell his property at a reasonable price. Before engaging a property valuator or real estate agent, one can use a simple property evaluation method - Market Comparison approach to guage one’s own property value.
How to carry out Market Comparison Approach?
Step 1. Analyzed your property into the following criteria:
? Location
? Property Type and Physical Condition
? Date of Valuation
? Size and Configuration
? Tenure/Terms of Lease
? For Land
? Gross Plot Ratio
? Land Use and Zoning
? Soil, Shape and Topology of Land
? Road-lines
Keep the above information found in a little notebook for easy future referencing.
Step 2. Select Comparables
Keep an eye on properties that have been sold recently, and for the properties that are similar to your property in term of the above criterias will be selected as your comparables
Step 3. Comparison Between Your Property and the Comparables
Compare your property with your comparables and make adjustments accordingly. When the comparable is better than your property, you make negative adjustment from the comparable’s price. When your property is better than the comparable’s, you make positive adjustment to the comparable’s price.
That’s it. Thanks