When choosing houses, individuals experience numerous issues. For one, they check numerous house designs that can cater to their taste. Next, they also need to look for unique and interesting features offered by each of the house. And, the prices of houses vary due to numerous aspects. Therefore, when finding the right price of a house or land, it is best to opt for land valuation. As of now, there are numerous types of land valuation methods. Listed below are some of the following.
Comparable method involves comparing similar types of houses in a certain area to judge the relative value of any particular one. This is also the most commonly used method to achieve the Open Market Value.
Repayment method is a method that aims to repay the price of the property within 12-15 years with regard to its income.
Investment method is calculated using the yield from the property. Therefore, the higher the yield means the greater the return in your investment. Using this method can also help compare the returns on a property.
Cost method uses the cost of the site it is built on and the cost of building the property, including labour, fit out and any taxes due.
Trivia Info Source From: Apartmentspecialists.co.nz