What factors can affect it? – House Appraisal
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What is a home appraisal?
A home appraisal aims to determine the true value of a property, taking into account various internal and external factors. These appraisals are usually conducted for purposes such as buying, selling, renting, permits, mortgage loans, insurance policies, guarantees, land concessions, tax guarantees, probate proceedings, mergers, expropriation compensation payments, and more.
There are different types of appraisals, among them are the commercial for purchase and sale, prosecutors to know the amount to be paid in taxes and the value estimation, which is used when the property is still under construction.
How is a home appraised?
There are several parameters to make the appraisal of a house, among them are:
- Construction material and finishes
- Square meters of construction and land
- Area and exact location of the property, as well as major roads
- Condition of conservation and age of the property
- current market price
- Type of land use
- Security of the area where the property is located
- Service installations such as gas, electricity and hydraulics.
- Shops and services near the property (for reasons of proximity, comfort, luxury, availability, etc.)
- Accessibility and public transport in the area.
- Quality of finishes.
All these factors are taken into account in a survey, that is, a report issued and carried out by a expert appraiser or in some cases an architect, with an issued certificate and an expert in the matter, with the aim of a single objective, to reach the conclusion of what the real value of the property in question is.
Who does the valuation of a house?
A expert appraiser, is in charge of property valuation, who is an expert who has a professional license issued by the SEP, that supports and certifies it as real estate appraiser and according to the purpose of the appraisal, it must be registered with other institutions.
Based on the article 3 of the Regulations of the Federal Tax Code The institutions authorized to carry out tax appraisals are:
The Institute of Administration and Appraisals of National Assets.
Credit institutions.
Public brokers who have a valid registration with the Ministry of Economy.
Valuation companies, and/or Professional Valuation Experts
It is necessary to have veracity and confidentiality of all the information collected in the survey, therefore it is essential and necessary to contact a company that provides total trust, quality and discretion, investigate a priori the one that best suits us, convinces and has clients. important to support them.
What factors can affect the home appraisal?
There are both internal and external factors that can affect this appraisal.
| Factor | How can the value increase? | How can you reduce the value? |
|---|---|---|
| Location | Close to main roads, schools, hospitals, and shopping areas | Areas with low demand, insecurity, and difficult access |
| Surface | Larger usable land or building | Poorly distributed or unusable square meters |
| State of conservation | Maintenance, functional facilities, sound structure | Dampness, cracks, leaks, outdated installations |
| Antiquity | Well-preserved older properties can retain their value | Physical and functional depreciation |
| Quality of finishes | Durable materials, good carpentry, flooring, bathrooms and kitchen | Damaged or low quality finishes |
| Services | Water, electricity, drainage, gas, internet, transport | Lack of services or recurring failures |
| Land use | Compatible and regulated use | Incompatibilities or restrictions |
| Documentation | Deed, property tax, water, plans, condominium regime | Missing documents, outstanding debts, or inconsistencies |
| Local market | High demand and strong comparables | Low demand or oversupply |
| Environmental risks | Stable area, no major disruptions | Floods, sinkholes, noise, construction work or urban decay |
A real estate appraisal has an average duration of 6 months, with the consideration that no modification is made or the home suffers any mishap.
How much do you charge for a home appraisal?
To obtain the information on costs for the appraisal, the appraisal company takes these aspects into consideration:
- Price per m2 of the area
- m2 of land
- m2 of construction
Or you can go to our article about How much does an appraisal cost?
Of course, the cost per appraisal depends on each appraisal company. At ANEPSA we offer plans tailored to your company, appraisals of all kinds, not only real estate, carried out by experts with an issued certificate, and we also make value opinions. contact Contact one of our advisors and learn about the plans we have for you or answer your questions.
