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How to select the Best Commercial Appraiser
Unlike residential appraisals, commercial appraisals are intricate, hence the need to choose a qualified appraiser for accurate valuation. Here are some tips for choosing a commercial real estate appraiser.
It is advisable to look for a commercial appraisal that is located in your area and is familiar with your market. This is important because there are commercial real estate appraisals that cover a number of market areas and may not have much familiarity with your market area. The appraiser should have a good understanding of the community when it comes to matters like properties that have been sold recently, price ranges, social amenities and facilities like school.
The numbers of years that they have been in the industry is an important consideration when you are looking for an appraiser. Opt for an appraiser that has expertise in the type of commercial property that you want to be appraised. Also, experience is crucial especially for appraisals that have been submitted for tax purposes. You can ask for current and past references to verify the appraisers experience.
For a commercial appraiser to work on your property, they should be licensed by the state where they operate. A proper license will assure you that you are working with an authorized commercial investment appraiser. Visit your states licensing board such as the Bureau of Real Estate Appraisal to check if the appraiser license is valid. You may also want to inquire if they have any disciplinary issues, suspensions and revocations as this may limit them from provide quality services.
Also, check the qualifications and credentials of the appraiser before hiring their services. For commercial appraisers, it is necessary for them to hold a bachelor’s degree real property appraisal. They should also be actively involved in professional appraiser’s association which sets some standards and code of ethics for the appraisers to follow.
Review the background information of the commercial appraiser online to help you make an educated choice. This will give you ideas of good appraisers who will provide you with accurate reports of the valuation. On the other hand, an incompetent appraiser will give you an inaccurate valuation and this could end up complicating the process. Ask to speak to the person who will doing the inspection and ensure that they are highly trained to complete the task as required.
While choosing an appraiser, it is critical to know which appraisal method they will use. They can get data on recent sales or information on listing services to make their valuation.
Lastly, consider the fees charged by the commercial appraisal especially if you are on a tight budget. However, it is not wise to hire an appraiser based on fee as very low fees could result to substandard report.