A real estate valuation is a good way to put a property value to your home (or homes) and other real estate. You don’t need to be selling to do a property valuation. It’s good to know what your most significant assets are really worth in any given year. There’s a lot you can do with the information when it comes to your personal financial planning.
However, there are some things you should know first.
Data analysis in real estate valuation:
Real estate valuations don’t only look at the condition of your property. You could have spent a small fortune on it to keep it in pristine condition, but that doesn’t mean it is worth the same, or more, than you paid for it.
Property valuations take other factors into account. Some of these can bring down the true value of your home. Data taken into account from your area can include:
- Price trends
- Recent sales
- Local rates and taxes
- Environmental factors
- Is your property in a company
- Is your property in a Family Trust
- Agricultural, Residential and Business Rights – and changes
- Property and building by-laws – and changes
In summary, a great many things outside of your control can decrease the real value of your real estate. That said, such factors can also add few figures to the total on your property valuation. Wouldn’t you like to know, either way?
An accurate real estate valuation is a useful tool and should not only be done by your local estate agent. Ideally, it should be done by accountants in conjunction with professional estate agents, resulting in correct data. The accountants can then advise you on how to make the most of the resulting valuation.
Sell? Don’t’ sell? Subdivide? Buy the property next door too? Add your real estate (with its valuation) to a family trust? Make use of tax deductibles to renovate? Hang on to a dead weight property for coming business rights? You’ll have those answers at your finger- tips with professional real estate valuations.
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