Vacant land is often described as being easy to appraise, however this is a common misconception. When you decide you get your land or property appraised, it’s important to understand how land appraisals work. You’ll require the services of a certified real estate appraiser, such as the team at Atlanta Appraisers. Your appraiser will assess the current market values, take into account the sale prices of similar local properties, and compile a detailed report of your home in order to calculate its listing price, land value for tax purposes, or the value of the property for donation.
Before undertaking a valuation of your home, the appraiser will determine the best use of the land and factor its future potential into the value. Vacant lots could become almost anything, from industrial properties to camping grounds to residential developments to name a few.
Your land appraiser will also examine properties that have sold locally in the past few months, usually of a similar size or type. For example, if a property is sold at $130,000 and yours is a comparable size, condition and style, it’s likely your property will sell for a similar price.
Location is also an important aspect in determining the value of a property. Two very similar properties in different cities may sell for vastly different amounts, based on the local rates in their location. Homes and properties that are close to convenience, such as retail and financial districts, will usually sell for more than those out in the country.
Unique selling points of the property will also be taken into account, along with any pre-existing zoning for residential or commercial use. Lots with great views, lakes or other desirable traits will usually be worth more than a simple property in the middle of town.
Timing can also play a part in vacant land appraisals, as values and sale prices are known to fluctuate. For example, if your property is an orchard or plantation, your value will be higher when the fruit or crops are ripe and ready for harvesting and potential sale. If your property is in an up-and-coming neighborhood, it will also bring in a higher amount than it would in a town with limited growth opportunities. Similarly, if an area is on the decline with little opportunity, it’s likely the value of your home will fall too.
No matter what your vacant land has been used for, a trained appraiser from Atlanta Appraisers will be able to provide land development valuations, including agricultural property and residential or commercial development lots. A range of factors, as determined by your appraiser, will determine the final value of your property. Overall, the value is the amount a buyer would be willing to pay for your, or similar, properties.
Your appraiser will complete your land appraisal in accordance to USPAP and Appraisal Guidelines for Federal Land Acquisition. Once valued, you’ll be able to market your property accordingly. If prospective buyers have any questions, your appraiser from Atlanta Appraisers will be available to address and answer those with you. They will provide you not only with a strong opinion of value, but also details on how that value was reached. This give you leverage with your potential buyers as you can point out your lot’s strong suits and help them see how the property can best be developed. Call Atlanta Appraisers today for your complimentary land appraisal consultation and detailed quote.