Real estate appraisal is a process that consists of determining the value of a property. It is an important aspect in the real estate market, since it is used to establish the sale price of the property, determine the value of the mortgage as well as for tax purposes. At HomeSearch Barcelona we explain how it is calculated and what is taken into account.
Real estate appraisal is based on several factors that are taken into account when calculating the value of the property. Some of these factors are:
❖ Location: Location is one of the most important factors in real estate appraisal. The proximity to schools, public transportation, parks and other services can increase the value of the property.
❖ Size of the house: when establishing the size, both the size of the plot and the size of the house are considered.
❖ State of conservation: If the property is in good condition, it will be valued more than a property in poor condition.
❖ Age of property – Taking into account the date of construction, an older property may have a lower value than a newer property (but that will depend on the kind of construction as in Barcelona the older buildings were built with very good materials and its esthetics are much appreciated).
❖ Property Features: Property features, such as the number of bedrooms, bathrooms, garages, etc., are also taken into account in real estate appraisal.
❖ Comparable Sales Prices: Property value is also based on the sales prices of other comparable properties in the same geographic area.
The real estate appraisal is carried out by a professional appraiser, who is the one who evaluates the property using the factors mentioned above and other relevant factors. The appraiser then generates a report that establishes the property's market value.
Real estate appraisal is an important process that is used to determine the value of a property and all these aspects are taken into account to determine its market value.
