Assess land value online: find the cost of your property digitally
In the realm of property transactions, understanding the value of a property is paramount. Germany employs various methods to determine property value, whether for businesses or real estate.
For business valuation, the Capitalized Earnings Method (IDW S 1) is the most commonly used, valuing an asset based on the expected future income capitalized at an appropriate rate. Other methods include the Practitioner (Swiss) Method, Stuttgart Procedure, and Schnettler Method, each offering a unique approach to valuation [1].
When it comes to real estate, valuation methods can range from the convenience of online automated valuation tools, which provide quick, non-binding initial estimates, to the precision of on-site professional appraisals. The latter accounts for a property's condition, structural specifics, and exact location, making it crucial for legal, financing, taxation, or sale purposes [3].
When selling a property, a real estate agent can provide assistance, offering market knowledge, a client database, and handling marketing, viewings, contract details, and administrative tasks. Their expertise can also help in setting an upper limit price indication [2].
Inheritance cases require a professional property valuation to lower the potential tax burden. Similarly, in a divorce, a court-approved market value appraisal is necessary for selling a property or compensating a partner [2].
The comparison value method, based on real purchase prices collected by appraisal committees, is another approach. Access to soil value data can be gained through the BORIS application, offered by several federal states for uniform online property value retrieval [3].
In some situations, such as the pledge of a property, a professional appraisal can help negotiate concrete conditions with the bank. Gifting a property also leads to demands from the tax office, and an appraisal can help lower a potentially excessive tax demand [2].
It is worth having the property value determined for various reasons, such as property purchase, funding for house construction, budget calculation, understanding real estate agent's commission, and monitoring real estate prices [4].
In cases where a court-approved market value appraisal is needed, it should be done by a state-recognized real estate appraiser, with prices ranging from 500 € to 2,500 € [2].
Remember, the value of a property is determined by its specific characteristics, including the land value, direct neighborhood, degree of development, and any historical contamination [5].
For a more detailed understanding of your property's value, you can use the free online tool offered by PlanetHome without registration [3]. An expert from Dr. Klein can also be contacted for further details [2].
[1] Source: https://www.idw-ev.de/en/methods/real-estate-valuation/ [2] Source: https://www.immobilienscout24.de/magazine/immobilienkauf/immobilienbewertung/ [3] Source: https://www.planethome.de/bewertung [4] Source: https://www.immobilienscout24.de/magazine/immobilienkauf/immobilienbewertung/ [5] Source: https://www.bundesbank.de/redaktion/publikationen/monatsberichte/monatsbericht-februar-2018-2086324.html
Investing in real-estate requires a precise understanding of a property's value, which can be achieved through on-site professional appraisals or online automated valuation tools for quick estimates. In the realm of finance, such valuations are crucial for legal, financing, taxation, or sale purposes, and even for negotiating conditions with banks or lowering potential tax demands when gifting a property.
