Apartment appraisal service in a new building
Valuation of an apartment in a new building is a popular service.
It involves work to determine the market value of a residential property. It is ordered by agencies, homeowners (present and future), and banks. Market price is the most objective indicator, and it is the one that appears in many transactions. There are two possible situations when resorting to real estate valuation in a new building:
- An apartment building was built and put into operation, the apartments in it were registered, they were assigned cadastral numbers.
- The house is just being built, and by taking out a mortgage on an apartment in it or buying it with one’s own funds, an individual does not yet become the owner. He is only a co-investor in the construction. In this situation, an assessment is also necessary, since there is no information anywhere about the market value of the apartment and when purchasing it is necessary to be based on specific (and, very important, objective) data.
Why are there such different prices for real estate in a new building?
The reality is that the cost of approximately identical apartments is different. This is due to the fact that the price of each object depends on many factors:
- Location. If you plan to buy in the city center, then you need to be prepared for the fact that the cost of the apartment will be higher than housing on the outskirts. The higher “price tag” is explained by the fact that land for development is more expensive, the demand for real estate is higher, the cost of connecting to communications is higher, etc.
- Transport accessibility. The cost is affected by the proximity of transport interchanges, train stops, and metro stations.
- Availability of finishing. Practice shows that about 15% of apartments on the primary market are sold fully furnished. They are more expensive, but this difference is lower than the amount that owners would have to spend on renovating an apartment without finishing.
- Square.
- Stage of house construction. Housing in a house under construction costs less than in one that has already been built and put into operation.
We present only a few factors. Independent appraisers evaluating an apartment in a new building take into account dozens of criteria so that the result obtained - the market value of the property - is objective. In their work they use income, cost and comparative methods.
Why do you need an apartment appraisal in a new building?
The assessment of an apartment in a new building is carried out for different purposes:
- For a mortgage.
- When registering property rights.
- For the court.
- When buying and selling.
- For insurance.
- When inheriting.
- In case of property disputes, for example, division of property between divorced spouses.
- When receiving a non-targeted loan.
One of the common situations when a real estate appraisal in a new building is necessary is obtaining a mortgage.
Features of accepting an apartment from a developer in a new building without finishing
How to accept an apartment in a new building without finishing? It is worth paying attention to the walls, screed, windows. You need to carefully inspect the corners. In a new building, the corners may not be “sealed” well, and there will be air blowing from there. If you do not pay attention to this, you will have to “unravel” and correct the shortcomings on your own and at your own expense.
Checking the walls
How to accept an apartment in a new building without finishing, what to pay attention to? You need to make sure that the walls are level. You need to use a level. Check for ventilation (seams and joints), absence of mold, smudges, unevenness, cracks and other defects.
Floor slabs and screed
How to check the screed ? The floor and ceiling also need inspection. Using a level you need to check the “horizon”, the presence or absence of irregularities. There should be no stains or smudges on the ceiling, no bending, no mold on the seams and joints. The evenness of the floor is checked by level. It is imperative to measure the height from floor to ceiling - it must correspond to the declared dimensions.
What should you know about assessing an apartment in a new building for a mortgage?
Before registering ownership of an apartment purchased with a mortgage, you must register a mortgage on the property with the bank. The document must reflect the market value of the mortgaged (collateralized) apartment. Let us remind you that all these features and the algorithm for registering an apartment in a new building with a mortgage are regulated by the Federal Law “On Mortgages (Pledge of Real Estate)”.
The purpose of assessing an apartment in a new building for a mortgage is to determine the liquidity of the property. The appraiser needs to go to the property to inspect and photograph it and the surrounding area. If a multi-storey residential building has not yet been built, then assessing objects that do not yet exist or are unfinished is a complex procedure. In fact, the market value is determined not of the apartment itself, but of the property right to it. Appraisers carefully select analogue apartments located in similar buildings. In the situation with unfinished apartments, the factors influencing the price that we cited above are partially applied, and the specialist determines the cost taking into account the coefficients. Thus, the market price is determined taking into account inflation risks. The risk of bankruptcy of the developer company does not stand aside either. The year of completion of construction and the period of commissioning also matter.
Features of acceptance of an apartment in a new building with finishing
How is the acceptance of an apartment in a new building completed ? If the apartment has undergone minimal repairs, the cost of such a property will be higher. If you correctly accept the apartment from the developer, you can immediately move in and live. But when accepting an apartment, you need to pay attention to some details.
Uneven floors, walls and ceilings
How does acceptance take place ? Acceptance of an apartment in a new building with finishing begins with checking the walls. You need to make sure there are no cracks, smudges, and that the joints with the floor and ceiling are even. If there is already wallpaper on the walls, you need to make sure that they do not come off at the places where they are glued and where they join the floor and ceiling.
What to pay attention to when accepting an apartment in a new building ? You also need to make sure that the floor and ceiling are even - it is recommended to use a level when accepting an apartment from the developer. Check the integrity of the floor covering; if a suspended ceiling is made, check the integrity of the material used.
Quality of finishing materials
How is the finishing acceptance process going ? Not every developer specifies in the documents for the apartment the building material used for finishing. In order to save money, lower quality materials may be used. It is recommended to personally clarify the information with a representative of the developer and check compliance.
Compliance of the installed materials with the declared ones
If the apartment contract clearly states the materials that were used in the turnkey finishing, the name of the plumbing companies, etc., it is easy to check compliance when inspecting the apartment. If there is no information, it must be requested from the developer.
What to look for during inspection ? After the inspection documents are provided, a compliance check can be carried out. It is easy to recognize the manufacturer of a toilet, sink or bathtub - it is written on the equipment.
It is more difficult to find out the manufacturer of wallpaper, tiles and flooring, but it is possible.
If there is a serious discrepancy, it is recommended to refuse to sign the act until the developer brings the apartment into compliance with the stated documents.
Who has the right to evaluate an apartment in a new building?
Not every specialist working in the field of appraisal activities can evaluate apartments in a new building and other residential real estate. When ordering an assessment, owners must determine whether the specialist meets the following requirements:
- Listed in SRO.
- His civil liability is insured for the amount of 300,000 rubles.
- Has a higher education and at least one year of work experience in this field.
Only an appraiser who meets these requirements has the right to draw up an official document - an appraisal report, which will be accepted by the credit institution as a source of reliable and objective information. Sometimes banks require approval of the “candidacy” of an appraiser. This is due to the fact that the credit institution and clients expect different results from the assessment. The first one wants to reduce the value of the collateral property, and the second one wants to determine the value of the object as close as possible to the market value. This is one of the important reasons why banks will carefully, meticulously check the appraisal report, so it is very important to contact a professional appraiser. The result of his work will not cause any complaints from interested parties.
Why do you need an apartment appraisal for a mortgage in a new building?
An independent assessment of the value of the property will be carried out before the loan is issued to the borrower. This is necessary so that the bank is confident that it will return the initial amount back if the borrower is unable to pay the loan. If a difficult situation arises, the financial institution sells the property, thereby covering its expenses.
It should be noted that banks, as a rule, undervalue the property and reduce the cost of real estate, guided by considerations of their own benefit. Borrowers tend to increase the price in order to get the highest possible loan.
That is why an independent assessment of the collateral for an apartment is important for both parties. The status of the process for determining the price of an object is official, so it provides a number of opportunities for the client. This is how you can understand why an apartment appraisal is needed for a mortgage in a new building.
The assessment report is used in court if the following situations arise:
- when determining compensation during division of property.
- In disputes with tax authorities about the size of the tax base. It is on this basis that property tax will be calculated, and personal income tax will also be calculated on it.
What documents are needed when evaluating an apartment in a new building for a mortgage?
The list of documents is quite extensive. It is necessary to, on the one hand, determine the legal status of the property, and on the other, to form a complete picture of the property. The appraiser must provide:
- A document showing how the property in the new building was acquired (for example, an agreement on shared participation, purchase and sale, etc.).
- Copies of the constituent documents of the developer company.
- Cadastral passport of the apartment, extract from the Unified State Register (their copies).
- A copy of the technical passport issued by the BTI (with information about the explication and floor plan).
- Transfer and acceptance certificate (copy).
- Identity card of the customer of the assessment.
This list is approximate and can be supplemented in each specific situation.
How to order?
After you have chosen an expert, you should pay him a visit. You must bring the following documents to the appraisal company:
- housing plan. Floor plan of the house;
- cadastral passport, it can be obtained from the BTI;
- If you plan to purchase an apartment in a building under construction, then you need a share participation agreement.
The procedure for contacting an appraisal company is as follows:
- First you need to conclude a contract for the provision of services. It is worth paying attention to the fact that the document must clearly indicate the timing of the assessment, and the goals of the procedure must be stated.
- Assessments are carried out only during daylight hours. It is worth scheduling an inspection taking this point into account.
- The date is determined. The expert's services are paid for, the amount can be paid in cash or by bank transfer.
The appraiser carefully checks the documents and analyzes the situation. Only after this does he go to the site.
What is the price?
The average cost of evaluating an apartment in a new building for a mortgage is from 2,500 rubles.
Valuation report as a result of determining the market value of an apartment in a new building
After visiting the site and studying all the documentation, an independent appraiser carries out calculations using one or a set of methods:
- Income approach – takes into account the possibility of increasing the value of the property in the future.
- Cost - the amount of costs for the construction of a similar apartment is determined.
- Comparative – takes into account the experience of selling apartments similar to the property being evaluated.
All calculations, photographs, conclusions are reflected in the assessment report - a document that has legal force and is accepted by the bank as a weighty argument. It is valid for 6 months. Its preparation is paid for by the future owner, that is, the one who takes out the mortgage.
On a note! Often, appraisal companies are asked to evaluate an apartment in a new building that has not yet passed the state commission and therefore has not been put into operation. Such an apartment is not registered in Rosreestr, it is impossible to obtain a certificate of ownership for it, and the bank, in turn, cannot enter a note in the register about the presence of an encumbrance. Does this mean that it is impossible to evaluate such real estate? As practice shows, it is possible. The bank gives a mortgage and receives the right to claim the future property.
Applying for an estimate of the cost of an apartment in a new building in is a guarantee of your profitable deals!
Federal Law “On Valuation Activities in the Russian Federation” (No. 135-FZ)
Federal Law “On State Cadastral Valuation” (No. 237-FZ) dated 07/03/2016
Federal assessment standard “General concepts of assessment, approaches to assessment and requirements for assessment” (FSO No. 1)
Federal Valuation Standard “Purpose of Valuation and Types of Value” (FSO No. 2)
Federal assessment standard “Requirements for an assessment report” (FSO No. 3)
Why you should contact us
Guarantee. Several cooperation options for your convenience. You pay only for the result! The liability of each of our appraisers is insured under an insurance contract.
Efficiency. By calling our company, you get in direct contact with a specialist. You don’t need to explain your problem several times and listen to ringtones on your phone endlessly. At any stage of interaction with the company - from the first call to specialists to the assessment - the Customer can count on a quick and effective solution to their issues.
Convenience. It is you who choose the day and time of inspection of the property being assessed. You don't need to reschedule any business. We will arrive when it is convenient for you.
Quality. In our company, each conclusion - assessment report - before printing, undergoes a two-stage check for compliance with the standards of expert activity - checked by a leading expert and the head of the organization.
Reputation. Why take my word for it? Look at the reviews from our Clients. Maybe your partner is among them?
Professionalism. We employ certified specialists who are members of a self-regulatory organization and have a license.
Good practice. More than 300 won cases.
