Posted on 25 February 2015
To start a real estate appraisal for private customers we need the information regarding the properties to be visited (a copy of the Tapu and the exact address) and a contact person that will be able to show the inside of the property to the expert in charge.
1. The appraisal workflow is as follows:
- A local appraisal experts research deed and land registry compliance issues within the local Deeds Office (TAPU Office) and the zoning plan with the regional government. Afterwards he visits the property in-situ, takes photographs and finalises the report.
- Each finished report is controlled by an experienced expert to make that a correct report is issued.
- After each report is approved the reports are translated which takes about 1-2 days depending on the workload.
- The completed will be emailed in PDF Format in Turkish and English. The printed copy will be sent the same day.
2. Outline of the appraisal report
In our reports, we follow procedures as dictated by International Valuation Standards. They include:
- An evaluation of physical and environmental features following inspection of the real estate site
- An evaluation of transportation and location features
- If it is built on, determination of the value of the real estate according to the construction characteristics
- An appraisal of real estate’s total sales value, following calculation of current market value as determined by the research
- Income management for properties bringing income
- Expert opinion and evaluation of the real estate’s present condition
- On every appraisal report, photographs of the appraised real estate
- Research at the land registry office on possible restrictions placed on the real estate (mortgage, distraint, etc.) and with the building authorities on future regional planning and whether any illegal situation exits.
3. Important points regarding the district government (further information)
- Exists a development plan “IMAR PLANI with the area of the property
- Has a foreign person the permission to buy a real estate property in this area
- Has the property recently been sold and to whom
- Is there any mortgage on the property.
4. Method selection
When appraising a real estate recognized international comparison of sales by the Appraisal Institute, cost, income, capitalization and other methods are used. The most appropriate or appropriate few are used and the evaluation can then be prepared by studying the market conditions found in Turkey’s economic situation.
- Sales comparison approach
- This approach compares a subject property’s characteristics with those of comparable properties which have been recently sold in similar transactions. The process uses one of several techniques. This is to adjust the prices of the comparable transactions according to the presence, absence, or degree of characteristics which influence value. All sales comparison approach methods are variations on hedonic-type measurements, which determine the value of something as the sum of the value of the various components which contribute utility.
- Income approach
- This approach is particularly common in commercial real estate appraisal and in business appraisal. The fundamental math is similar to the methods used for financial valuation, securities analysis, or bond pricing. However, there are some significant and important modifications when used in real estate or business valuation.
- Cost approach
- This approach is based on the principle of substitution which asserts that no prudent buyer or investor should pay more for a property than that amount for which the site could be acquired. It also ascertains which improvements that have equal desirability and utility can be constructed without undue delay. It is a method of appraising property based on the depreciated reproduction or replacement cost (new) of improvements, plus the market value of the site.
5. Other important points
When determining a real estate value the most important factors being economic situation, state of the market, regional market prices and environmental impact, our specialist staff analyses every detail meticulously and each factor is taken into account.
The time frame for an appraisal report delivery is about 6-7 working days regardless of the location and including translation. Postal delivery time is not included.