Real estate property appraisal is the process where appraiser comes and does an extensive investigation about a particular real estate property before coming up with a report that shows the amount of money the property is worth depending on its characteristics and the location where it is found. Commercial property valuation is a process that is done under special situations but it is also open to being done by more than one person as long as they are interested parties who have a right to get a valuation report about your property where they can hire their appraiser who will give the final report to them. One situation that allows for commercial appraisal to be done by a different person is when you owe a large amount of money to a debtor, and the only way he can get his cash back is by selling a certain property you own and he will do an appraisal before selling it to get his money while any extra cash made is handed back to you. Another situation is when you want to sell a real estate property to a buyer who will first want to establish its price without relying on your report, and he is allowed to bring his appraiser who will determine the market value of the property and make an appraisal report. There are situations where the individual who ordered for your property’s valuation can decide to share the final report with you, but it is impossible for the appraiser to give it to you because he respects the will of his clients and he only shows the report to the person who hired him to do the appraisal.
There are different levels that the appraisal process goes through until the time when the exact value of the property is determined. One thing that is done is to investigate the demographics of your property and then the ownership question is studied in detail before comparisons are made with other similar lands or houses that have been sold in the past. After that, the appraiser will come to you and ask for additional information about the property including the tax history and income information which will help him to determine how much money the property is likely to cost.
Finally, the individual will prepare a detailed report that will show you how much your property is valued at and how that money was arrived at. An appraiser can include the retrospective value of the property to show what it used to cost in the past and also the prospective price in future in case it is to be sold at a later date.