Real Estate Solutions

The first step in the valuation process is to identify the client, intended users, intended use, purpose of the assignment, effective date of the opinion, relevant characteristics of the property, & assignment conditions.

The type and extent of research and analysis in an appraisal or appraisal review assignment.

• Market Area Data – General characteristics of region, city, and neighborhood
• Subject property Data – Subject characteristics of land use and improvements, personal property, business assets, etc.
• Comparable Property Data – Sales, listings, offerings, vacancies, cost and depreciation, income and expenses, capitalization rates, etc.

• Market Analysis – Demand Studies, Supply Studies, Marketability Studies
• Highest and Best Use – Land as though vacant, Ideal Improvement, Property as Improved.

Develop an opinion of land value using one of the following techniques: sales comparison, extraction, allocation, subdivision development, land residual, ground rent capitalization.

The valuation process is based on an analysis of pertinent general and specific data using one of the following three distinct methods of data analysis:

• • • Sales Comparison Approach
    • Income Capitalization Approach
    • Cost Approach

In developing the final value we reconcile the approaches used into a final value conclusion; the final value can be expressed as a single number, a range, or as a benchmark.

The final step in the valuation process is the preparation and delivery of the appraisal report. The report can be communicated to the client in writing or orally.