In real estate, when a deal is about to take place, an appraisal is used to determine the price of a property on the real estate market. Valuations are carried out by professionals approved by the Bank of Spain who analyse various values to determine the total value of the property.
These actions are carried out when a property is to be bought or sold. The appraisal lets the buyer and seller know that what they are paying or receiving for this house is within the market price. Neither too much nor too little.
In order to carry out the valuation of the house, the valuer will need a note from the land registry where the ownership of the house appears, as well as the names of the owners. It is important that the valuer has the title deeds of the property so that he can check the details of the flat.
What influences the valuation
It should be held in mind that the value of the property is influenced by the time at which the valuation is made. For this reason, the appraisal is only valid for six months after the date of issue. If, for example, the sale of the property is postponed for a year, the appraisal will have to be carried out again.
These are some of the elements that appraisers take into account:
- Geographical location
- Size of the house
- Condition of the property
- Current market data
- Energy rating
The last factor has become very important in recent years. It is possible to find properties with values ranging from A to G, the former being a property with maximum efficiency and energy savings. Therefore, the properties with values A, B or C will be the ones that obtain the best rating. To make this valuation, the type of heating, the insulation of the building, the electrical appliances and the materials used in its construction are taken into account.
What documents are needed for the valuation
The owner of the property will have to provide the appraiser with the following documents:
- Nota simple in the registry.
- The plans of the property.
- The title deed of the property.
- Certification from the property registry
Should you require any assistance or legal counsel concerning properties, purchases and sales on the islands of Mallorca, Menorca and Ibiza, please contact us at your convenience at info@mallorcasolicitors.co.uk or by phone on the numbers listed on our contact page.
