In-Depth Explanation Why Commercial Appraisal Rates Are High
The complete appraisal of one’s property is something that land owners or property owners need to understand thoroughly. The most common questions that they have in mind is that why commercial appraisal rates are high and why it would take some time before the appraiser can finish their work. In this article, the main reasons why such things happen is explained and hopefully property owners will be enlightened.
It is essential on your part to know the entire appraisal process and the laws that appraisers need to subscribe to in completing the process. If you are wondering why laws pertaining to real estate are tight well then it is due to the past events that take place in the real estate industry on the early 90s. The effect of the latter is the implementation of standardized licensing for all appraisers in several states as well as the insurance companies who have such services.
The laws implemented by the government created a more rigid appraisal standards for appraisal practices thereby allowing local licensing bodies to get affiliated with licensed appraisers. Needless to say the standards become so intricate which is one of the reasons why completing the entire process is time-consuming and difficult. That is why a person who is in need of appraisal services, commercial or residential need to learn what those requirements are.
When looking for a commercial appraisal services what you are actually paying is the time and expert knowledge of appraisers. In appraising a typical property, this would usually take from 30 hours to 60 hours. In appraising sever units in an apartment building will usually take lesser time compared to a 14-unit building considering the report is in a summary narrative format. The time to complete the appraisal of a 24,000 square foot industrial facility and a 12,000 square foot industrial plant is almost the same. With that being said, the value of property and the market value has little thing to do with the appraisal fee of a certain building.
In other words, what are the factors that affect the appraisal rates? There are only four things that can affect the appraisal rate, first is the intricacy of the project, the format of the report, data availability and the needed turn-around time.
1. Intricacy of the project – needless to say the more complex the project is the more the appraisers need to investigate the scope of the area. This will then take longer period of time before the appraiser can finish and the fee will be higher as well. That’s just how it is after all the project is complicated more so if you have not found a credible commercial appraisal service provider to contact you can search for Edmonton commercial appraisal services. With the advent on internet you can surely find Edmonton residential appraisers and other services they offer.