A GENERIC VALUATION PROCESS →
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Quote Request
Go through our quote request process
Quote Request Form →
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Accept the Quotation
Work through the quotation and any queries followed by an acceptance. →
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Contact
Once we have an approval on the quotation, we will give you a call to kick-start the valuation process.→
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Investigation
This process involves electronically preparing for the site visit. Understanding the property and obtaining relevant information required to proceed with the valuation.→
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Site Visit
This is an important process. Photographs, measurements, building plans and all noted finishings or problem areas need to be documented. We may hold discussions with tenants or relevant sellers to gain more information. →
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Market Research
The Valuer will now work on gathering market related information wound the area of the property, such as the previous sales, rentals, cap rates, vacancies, land values, macro
economic factors, building costs,
income & expenses and obvious rates & taxes within the area of the property.→
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Report Compilation
Once all the necessary details are obtained through the relevant processes previously mentioned, the market research is accurate and concluded, we will compile all of the information into a motivated valuation report.→
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Report Delivered
On finalising the report and the fee is settled, the report will be sent to you and discussed with you should you have any queries or concerns.
VALUATIONS PROPERTY SERVICES →
RESIDENTIAL PROPERTY →
Whether a residential property valuation report is required for vacant land, an agricultural holding, a full title or a sectional title property, as residential property valuers, we are more than capable of determining the market value thereof, which is defined as: the estimated amount for which a property should exchange on the date of Valuation between a willing and informed purchaser and a willing and informed seller in an arm’s length transaction, after proper marketing wherein the parties had each acted knowledgeably, prudently and without compulsion.
What is the Residential Property Valuation Process?
In addition to existing knowledge and experience, Residential Property Valuers need to research the economic environment, the property and the surrounding area in order to compile a residential property valuation report. Certain legalities are also scrutinised, such as the Title Deed to the property, zoning and municipal information. A full inspection of the house both externally and internally is performed by the Residential Property Valuer in order to take note of finishes, features, accommodation, problematic areas and to ensure he has the correct extent of the floor area, in order to compare the property to comparable sales in the area.
Residential property valuations are based on the Market approach (comparable sales), i.e. the market value of the property is derived from the selling prices of other comparable properties recently sold, provided:
Zonings must agree.
Differences between properties sold and the property to be valued must be limited to a minimum, that is the properties must be similar.
The definition of market value must be valid, that is the parties must act as “willing” sellers and buyers in the “open market”. Conditions of sale must not be out of the ordinary. If need be, necessary adjustments should be made to comparable properties, in terms of: quality/differences; desirability; locality; date of sale or extent of improvements, in order to make the properties as similar as possible, to that of the property being valued.
COMMERCIAL PROPERTY →
As experienced Commercial Property Valuers, Empire has the experience to confidently undertake Commercial Property Valuations, which require a specialised level of expertise.
Commercial properties include but are not limited to:
- Shopping Centres & Retail Properties
- Industrial & Warehousing Properties
- Office Buildings & Office Parks
- Farms, Game Lodges and Agricultural Properties
- Specialised Properties – Data Centres, Hospitals, Churches, Schools, Casinos, Hotels and Guest Houses
- Petrol Filling Stations
- Townships, Potential Townships and Development Projects
- Golf Estates
- Vacant Land
We are able to adapt the structure of a commercial property valuation report, to suit your needs in order to ensure that all your commercial property valuations adhere to your requirements.
Empire has experienced Commercial Property Valuers based around South Africa and we have offices in South Africa as well as Africa.
Commercial properties generate income and therefore generally require the utilisation of a detailed discounted cash flow analysis or the first years income capitalisation method (capitalisation of income approach) when performing commercial property valuations. These methods are described in more detail:
Capitalisation of Income approach: Apply gross open market rentals to the accommodation and then deduct normal landlord outgoings and a management fee to arrive at a net annual income figure. This sum is then capitalised in perpetuity at an appropriate yield.
Discounted Cash Flow Analysis: Project income for a 10 year period (assuming a 10 year cash flow is utilised depending on the expiry dates of the lease agreements in place) based on existing contractual leases, from which forecasted expenses are deducted yearly to arrive at the net annual incomes, which the sum of, are discounted to present value. To the sum of these discounted yearly net incomes, is added the residual sale value, which is the anticipated selling price of the property at the commencement of year 11, also discounted to present value.