If you want to get a loan for a large amount, you need to prepare for the provision of property as a pledge. To determine its value, the services of specialized companies are used to avoid the risk of losing financial resources, as well as determining the maximum loan amount corresponding to the objects transferred as collateral.
There are different ways to assess the value of private, commercial real estate and enterprises. If a bank customer decides to transfer a house, apartment or land plot as collateral, their sale price is determined. When analyzing a business, its profitability is taken into account.
If the real estate appraisal is carried out quickly, you can make a timely decision about the loan amount, to avoid financial losses. With proper determination of the value of the object, you can accurately choose the basic conditions for its transfer to the pledge.
Types of property valuation services before obtaining a loan:
Determining the value of private real estate. The need to evaluate this property appears when taking a loan for a large amount, as well as when concluding a mortgage agreement.
The service is provided upon receipt of a loan in especially large amounts. The need for such an assessment may arise when insuring or liquidating a company.
The valuation of the property of a company is carried out if you wish to pledge not the entire enterprise, but only specific objects, for example, machinery, technical equipment or intellectual property results.
High-quality real estate appraisal helps to avoid typical mistakes that lead to negative consequences not only for the client, but also for the bank. When determining the price of a property above its market value, there is a risk of financial losses in default. If the real value of the object is lower than that assigned in the assessment, the maximum amount of lending is reduced, because of which the client cannot receive the required amount in full, and the bank’s income decreases.
Determining the value of the property transferred as collateral is necessary when obtaining a loan by both individuals and legal entities.
Click on link for more: http://www.wcvaluers.com.au/
Ltd. “Cadaster plus” performs works of assessment when applying for a loan . Employees of the company are highly qualified; they estimate the value of the objects provided as collateral in a moderate time frame. Focusing on the estimated value of the property, you can choose the right lending program and assign optimal conditions.
Assessment of property complexes is the identification of the money price of a complex of property rights of a legal entity, for objects on the balance of the estimated property complex, an independent assessment of property complexes is rightfully recognized as the most comprehensive type of business, enterprise, company valuation — everything that can be named property complex . The valuation of the property complex is carried out by several methods using specialized databases containing price information on real estate, equipment, and other fixed assets.
In assessing the property complexes of enterprises, the key is the problem – what information should be taken as a basis: data on the past and present of the enterprise or give priority to future forecasts? These approaches to the assessment rather do not exclude, but complement each other and each of them combines several methods. These include:
- The book value method;
- Adjusted book value method;
- Substitution method;
- Method of liquidation value.
All of these methods are based on asset valuation. It should be borne in mind that the situation may change dramatically in the near future. Previously, highly profitable enterprises will become unprofitable or even unprofitable and vice versa, which will certainly affect the price of the enterprise. Therefore, it is impossible to evaluate the enterprise only on the basis of information about the past and even the present. More reliable methods based on predictions. However, it is very difficult to predict the future financial results of an enterprise, especially in a market economy, therefore it is advisable to use.