Commercial real estate is a powerful asset and investment tool, and you want to get the most from it. An accurate valuation affects many aspects of ownership, which is why real estate appraisals are recommended when the market swings or before you buy or sell. The following are just a few benefits you can expect when you book this service.
Why You Should Schedule a Commercial Real Estate Appraisal
1. Reduce Property Taxes
Property taxes are an overlooked aspect of ownership, and you might be surprised at how large the tax bill is each year. Your local government bases how much you owe on the most recent appraisal of your property.
An appraiser carefully inspects the key property features, such as the square footage, number of rooms, and lot size. They then assess the building materials, including the average value and condition they’re in. The appraiser compares this estimated value with similar appraised properties in the area and market statistics to determine an accurate value. If it’s lower than local estimates, you could enjoy lower property taxes.
2. Secure Funding or Payment
If you’re purchasing a commercial property, your investors and mortgage lender will want an accurate valuation. They’re investing in the asset, and should you default, they’ll inherit it. An appraisal gives them the most accurate opinion of the value, which can justify the amount of money you’re asking for.
The same applies if you’re selling. An appraisal lets you know what similar properties in the area are worth. You’ll then accurately price the commercial space and can justify the price tag during negotiations with prospective buyers.
3. Get the Insurance Coverage You Need
Insurance companies often determine payouts based on appraisals. If there’s a fire, you’ll receive a specific amount of money, for example. If they’re undervaluing a property, you may not get enough money to cover your losses. Agencies trust the opinion of experienced, licensed appraisers. They will keep their valuation in mind as they determine the amount of coverage in your policy.
If you’re looking for a skilled commercial real estate appraiser in the Raymond, NE, area, turn to Lange Real Estate & Appraisal. Owner Bill Lange and his team serve customers throughout the state, specializing in land and agricultural sales and commercial real estate. You can learn more about this team and their appraisal services on their website, or call (402) 580-1987 to arrange a consultation.