| For those who are willing or motivated to sell their | | | | values of lands surrounding that you intend to invest |
| property, the best first question to ask them is: Are | | | | in. With or without structures is not a concern here. |
| you willing to buy the property for the price you are | | | | Properties with houses always have a standard for |
| selling it? This gives a very good inkling on the price | | | | determining property values. Current market value, |
| they have set. Next, is asking from long time nearby | | | | latest sales in the vicinity, certified appraisal and |
| neighbors if they would buy the property for price it | | | | competitive market analysis are among the common |
| is being offered. From that alone it will already give | | | | ways. For the house or structure itself, it is important |
| you a good idea of the value for the property. | | | | to know the type of construction and materials used |
| Neighbors will provide information on why or why | | | | in them. Knowing it will give a good estimate on how |
| they will not buy the property for the price. What | | | | it would have cost per square foot to construct the |
| are important to many are the neighborhood and its | | | | house. Consider the age of the structure because |
| immediate vicinities. Normally a good neighborhood will | | | | with older ones you will have to deduct some |
| command a better price than high end community | | | | depreciation from the time it was constructed. |
| with large properties known to be owned by | | | | Remember always that there are many beautiful and |
| questionable people! Of course what is being pointed | | | | well constructed houses in the wrong place. They are |
| out here are properties with houses constructed on | | | | frequently appraised high for the structure but not |
| them. | | | | for the land value. It can probably even have high |
| Consider preferences of those interested to buy | | | | tech facilities and security because of a bad |
| properties. If there is a good reliable survey on | | | | neighborhood! So determining the value of properties |
| preferences research or get a copy of it. There are | | | | like those should not be addressed in the standard |
| those who prefer countryside or outskirts and there | | | | manner. Use common sense and logic in assessing the |
| are also who like it better near or within business | | | | true value properties of that kind. |
| districts. No matter how cheap a property is but no | | | | Determining the property value of mortgaged |
| one has a liking for it then it almost has no value at | | | | properties should be looked at from a different angle. |
| all! | | | | Do not consider interest that has been paid as part |
| For example, you have a real close friend or client | | | | of the value. If ever, consider it only for the future |
| that wants to buy cheap large tracts of land and hold | | | | value if it will be reasonable or not for appraisal. Real |
| on to it, then you have buyer that only a few would | | | | estate investors should only consider the value that |
| have. You know his preference. With this, determining | | | | the property has and to be flipped within a short |
| property value for that buyer has its set parameters. | | | | time. |
| It will be a simple matter of knowing the market | | | | |