As a Houston entrepreneur, you know how important a commercial real estate appraisal can be for valuing property. However, the process is often highly complex, and as a result you may be left with more questions than answers. That’s why having the proper information is so crucial; being informed will allow you to make the right decision regarding the sale or purchase of commercial property and offer the best chance for success.
Inc. offers a few helpful tips to those looking to have a commercial property appraised. Most importantly, you should be forthcoming with all information requested by the appraiser. To ensure a timely appraisal, you must expediently provide all necessary documentation (which often includes statements regarding income, property blueprints and previous tax bills). Failure to do so could lead to delays, and may even impact the appraiser’s final valuation.
Additionally, you must also make the appraiser of aware of your overall goals regarding the property. This requires identifying who will be authorized to use the subsequent report, which can change depending on whether you are interested in buying or selling a property. You should also know about the different types of reports available. A summary report offers a pared-down version of the results, while a self-contained report includes a complete listing of all findings. If you are the only person using the report, you can ask for a restricted-use version.
You should also be aware that the overall value of a property is based on more than just the inspection findings. The appraiser will consider many other areas, including ownership records, the demographics of the location and sales values of similar properties. To this end, the actual property inspection comprises a relatively small portion of the total valuation process.