A full commercial appraisal is a detailed, professional evaluation of a commercial property’s value, conducted by a licensed appraiser. It goes beyond a simple estimate, using thorough analysis and documentation to determine an accurate market value. This type of appraisal is usually required for loans, sales, insurance, or legal purposes.
Here’s what it typically includes:
| Component | Description |
|---|---|
| Property Inspection | On-site visit to examine the building, land, and improvements. |
| Data Collection | Research on the local market, comparable properties, rental rates, and occupancy. |
| Valuation Methods | Use of one or more methods: Income Approach, Cost Approach, or Sales Comparison Approach. |
| Analysis & Adjustments | Consideration of property condition, location, depreciation, and market trends. |
| Appraisal Report | Detailed written report with valuation, supporting data, photos, maps, and assumptions. |
| Certification | Appraiser’s official statement verifying the appraisal is accurate and unbiased. |
A full commercial appraisal is more comprehensive than a desktop or drive-by appraisal, and it provides lenders, investors, or owners with a reliable, legally defensible property value.
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