Real estate appraisals are crucial for a buying or a selling process. Either you or the person selling the property will ask a real estate appraisal company for performing an appraisal. But, what is an appraisal? And what do commercial or industrial property appraisals comprises? You’ll get all your questions answered in this blog.
What are real estate property appraisals?
A real estate appraisal is the process of finding the value of a property by taking various aspects into consideration. These aspects primarily affect the value of the property in the current market.
Furthermore, a real estate appraisal company has extensive data using which they can compare your property against a similar property in the market. This lets them arrive at the most suitable price for the property.
Most of the time, an appraisal gets initiated by the mortgage provider. They perform the appraisal and decide whether the loan amount you seek to buy the place is reasonable. You can also hire one yourself if you decide to put any of your property for sale on the market.
There are many methods through which a real estate appraisal company performs an evaluation. Some are listed below:
- Comparative
- Investment
- Residual
- Profit
- Cost
What are commercial property appraisals?
A commercial property appraisals is nothing but the valuation of a commercial property. It primarily used the investment method to find the future growth of that particular property. It includes various kinds of buildings like stores, apartments, etc. There are other things at play as well. Like identifying the rental rates, property square footage, and proximity to useful locations.
The following are the types of commercial or industrial appraisal that a real estate company usually carries out:
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Industrial Appraisals:
Industrial appraisals mainly focus on manufacturing areas, storage rooms, transport accessibility, and other such factors. This kind of appraisal primarily focuses on the viability of a business in that area for arriving at an estimation.
The condition of the building is also one of the important factors an industrial appraiser looks for. So, when you find industrial appraiser agencies, you must look for their previous experience in the valuation of industrial properties.
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Mixed-use Industrial Property Appraisals:
For performing the appraisal of a mixed-use property, you need to hire the best real estate appraisal company. Mixed-use properties are required to have professionals evaluate who is more experienced in estimating the value of cultural, retail, industrial, office, and other forms of property. Only then you will have the perfect estimate for your property.
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Storage Facility Appraisal:
Storage facility appraisal focuses on truck accessibility and other such details that make business easy. Apart from these special details, the appraisal focuses on establishing the right estimate by comparing it to other similar properties in the locality.
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Data Hosting Center Appraisal:
These kinds of properties do not have an office or any such features. They have appropriate wiring and electrical circuits to house electronic equipment such as a web hosting server facility. For this appraisal, you need to find industrial appraiser agencies that understand the specialized requirements of the field.
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Industrial Condominium Appraisal:
These kinds of appraisals usually estimate a section of the property like sidewalks, porches, and even rooms. In this kind of appraisal, each condo is separately investigated to arrive at the best estimate.
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Showroom Appraisal:
A showroom is a commercial area that has 50% or more of its space dedicated to exhibiting the products. Most of the textile stores and car showrooms in Oakville, Hamilton, Burlington, and surrounding GTA come under this category.
In this kind of appraisal, a commercial appraiser Oakville can check whether the property is near a buzzing area. If not, the value reduces significantly. However, there are other factors such as the time it takes to reach other nearby main areas and the overall building area.
What is an industrial appraiser?
An industrial appraiser is a professional who specializes in producing valuation reports for industrial properties. They may or may not be suitable candidates to create an appraisal for residential properties and other forms of real estate.
How to find the right industrial appraiser company near you? Consider the following aspects before you hire an agency.
- Years of experience: In the real estate business, it is important for you to find an agency that has several years of experience. Simply because you will get quicker appraisals and hassle-free service.
- Service area: Do not bring a real estate appraisal company from other areas to perform an appraisal on your locality. They just might not have enough information or experience in your area.
- Past works: Ask around your neighborhood to understand how their services were in the past. Reach out to their past customers to truly understand what they offer and whether the service is actually worth it.
- Qualification: Make sure that you set an interview with the person who is going to perform the appraisal. Knowing if they are AIC members, can help you identify their true expertise in your field.
- Fees: Compare prices between various agencies and find which one suits your budget better.
Conclusion
When done in the right way, commercial property appraisal lists all the crucial facts you need to know about a specific property. Who knows? It can even uncover aspects of your property that puts it on the top of the market.
When it comes to hiring commercial appraisal services in Ontario Canada, Nicro Realty Corp specializes in providing excellent appraisals, brokerage, and asset management services. Visit Nicro Realty website, or contact them at +1(905)-518-5250 for appraisal services in Ontario.