Pledging or making a mortgage without applying to the Valuation Company and professional the help of the appraiser is indispensable.
Property valuation is a procedure for determining the value of an object in accordance with the goal and tasks. This is a fairly broad concept, including the evaluation of land plots, buildings, structures, infrastructure elements, communications, vehicles, aircraft and ships, machinery, equipment, securities, property complexes and business (for a full list of services, in the section of independent evaluation ).
Property valuation is conducted in cases established by the legislation of the Russian Federation, as well as at the request of one of the parties to the agreement or by agreement of both parties. Objectives of valuation of property and types of value are different: The evaluation report is required when making transactions, when transferring to a pledge or for rent, when drawing up an insurance contract, for making property in the authorized capital of organizations. Also, you cannot do without applying to the appraisal company, if necessary, to resolve property disputes, with reorganization, bankruptcy or privatization.
The cost is determined taking into account all the features and parameters inherent in the objects of valuation. Traditional division of property is carried out by types:
Real estate – land, buildings, structures, fences, paving, engineering networks;
Movable objects – vehicles, aircraft, railway transport, floating equipment, equipment;
Business shares in it and securities.
Property valuation is carried out both compulsorily and on a voluntary basis, taking into account a number of federal and international standards, as well as in strict compliance with the requirements of the Law “On Appraisal Activities in the Russian Federation”. For some types of objects, special rules are established, so the appraisers use them in addition to the general provisions of the law. Individuals, companies, government agencies, banks and investors often need information on the value of physical objects. Russian citizens most often resort to the services of an appraiser in the following situations:
When drawing up various transactions related to land, buildings and structures, with movable property and vehicles;
- When drawing up an insurance contract and for calculating the amount of compensation;
- When transferring property as collateral or when making a mortgage loan;
- At the damage caused to property – at plunder, fire, flooding;
- For payment of state duty upon inheritance;
- When drawing up a gift agreement;
- When seizing property of individuals for state needs;
- When deciding in court.
- Legal entities order evaluation reports:
For revaluation of fixed assets;
When entering property in the authorized capital;
- If necessary, in attracting investments and in the process of drawing up a business plan;
- To attract an investor or to study the prospects for investment in a particular facility;
- When lending and transferring property as collateral;
- When preparing an enterprise for restructuring, selling or bankruptcy proceedings;
- If necessary, payment of the value of a share to one of the participants in a limited liability company;
- In cases of payment of securities by property;
- At purchase and sale, registration of rent;
- For tax accounting purposes and for determining the tax base;
- When solving issues related to property, in courts.
an analysis is made of the necessary costs for the creation of a similar property or its restoration;
in the calculations similar to the property being valued and the supply prices on the market of similar objects are used;
the analysis of possible incomes from possession or disposal of property in the future is carried out, profit and expenses at operation, and also an opportunity of resale of object are considered.
Please note that the evaluator must specify in the Evaluation Report the reasoning behind the selection, and in case of impossibility of application, a reasoned refusal to use one or more methods.
Applying to the appraisal company, you will need to clearly state the purpose and the task of assessing the property, clarify all the characteristics of the object and provide legal documents and technical documents for it. During the negotiations, the appraiser will be able to voice the cost of the services and the timing of the work, an agreement for the evaluation will be concluded with you. Your further actions are as follows: