interbaltija

Real estate appraisal

Interbaltija appraisers provide an objective opinion on the value of the real estate. You can be sure that the appraisal is objective, as the best experts in the industry are involved in the process of valuation.

Clients of Interbaltija use valuations of all types of real estate (residential areas, offices, commercial and production premises, warehouses) throughout the territory of Latvia.

Certified specialists will help regardless of the purpose of the appraisal. It can be loan security, property insurance, buying, selling, or management decisions!

Interbaltija provides valuation services to private individuals, institutional and corporate clients, as well as courts and legal offices in Latvia.

Appraisals of Interbaltija are fast, consistent, and accurate; therefore, the largest banks of Latvia cooperate with us and Interbaltija’s portfolio consists of hundreds of satisfied customer reviews.

Interbaltija provides valuation services to private individuals, institutional and corporate clients, as well as courts and legal offices in Latvia.

A real estate appraisal is the process of determining the market price of an object, based on a set of criteria that helps you find out what price you can sell the object for today.

The list of real estate evaluation criteria includes:

Type of real estate

Place of real estate
Distance to other infrastructure objects
Location of rooms in the building
Planning
Technical condition
Services and utilities provided in the building or at the site
Encumbrances

Why do you need a real estate appraisal?

You may need a real estate appraisal in the following cases:

Appraisal for getting a loan is a service usually required to provide information to financial institutions about the value of a borrower’s collateral.

Settlement of legal proceedings. One example may be a real estate appraisal when receiving an inheritance. It is necessary to compensate part of the amount to those heirs who do not receive the rights or to indicate the value of the inheritance in order to pay the correct amount of taxes.
When buying or selling real estate, the buyer or the seller needs to know the property’s market value.
When changing the residential property – if you would like to change your residential property and not be left with losses after the deal.
Appraisals to determine the initial price of the auction. Auctions may be voluntary or forced; in both cases, the appraisal determines the initial price.

Updating of accounting book value. You need to update the real estate appraisal for your company to receive a positive auditor’s opinion.
The Register of Enterprises requires the opinion of a certified appraiser to register real estate as fixed capital.
The issuance of a temporary residence permit requires an appraisal to be submitted to the Office of Citizenship and Migration Affairs.
In insurance cases, an appraisal is required to determine the fair market value of the insured property.

Types of real estate valuation

Market value assessment. You will get an opinion on the highest possible price for which you can buy or sell real estate at a certain time and place.
Real estate cadastral valuation. You will get a price that is formed as a result of the evaluation of the State Land Service. Usually, this value is used to calculate the amount of taxes and fees.
Liquidation valuation. You will get a real estate sale price for which you can sell the property in the shortest possible time.
Valuation of real estate investments. You will get the possible future sales price considering price growth, risks, investor plans, and the development of the region.

What properties can be evaluated?

Land and forests
Agricultural land
Commercial building land
Residential premises and buildings
Private houses
Commercial and specialised real estate
Warehouses and other business premises
Production facilities
Shops and office premises
Hotels and guesthouses

Real estate valuation methods

The main real estate valuation methods are comparative, income, and cost methods. Each of them has advantages and disadvantages, and accordingly, the best result is achieved when all three methods are used together.

The comparative real estate valuation method involves researching the sale and offer prices of similar properties in the market. It involves processing a large amount of information, and maximum accuracy is achieved by knowing the many nuances of the market.

The income method of real estate valuation is most popular among people who consider real estate as an investment tool. This method includes an assessment of potential real estate income and risks. At the same time, the main task of such an assessment is to protect the investor from overpayment.

The cost method of real estate valuation is a method that is usually used as an indication since the cost of a ready-to-use building should not be higher than the cost of construction, renovation, replacement, or adaptation of a functionally equivalent property.

Can I appraise the property myself?

You can also try to do the real estate appraisal yourself. You need to perform comparative analysis and look at the prices of similar properties on the market.

However, it is worth noting that the accuracy of such an assessment will remain low and cannot be used in financial reports and credit institutions, legal proceedings, or disputes.

OBJECTIVE APPRAISAL

Interbaltija appraisal helps in the following situations: