How to check market value of property?

Whenever I go to inquire about the property rates, they are already slightly higher than they were previously and I always feel like I missed a chance the last time. The urban areas of our country are experiencing a significant increase in property values. However, the value of land has remained stable for years in many locations. A variety of factors influence the land's market value. They mostly include the land's location, size, shape, and level, as well as the rules that go with it. Let me explain how to find the market value of a property.

How to check value of property?

The lowest price at which a piece of land or other property in a given neighbourhood can be purchased is known as the market value. The minimum amount a property must be registered for, as determined by the state government, is this amount.

You can sell the property at whatever price you want. In no situation might a purchaser at any point persuade him to sell at the public authority decided market worth of the property.

A property can still be registered at the government's guiding value if you can acquire it for less than its market value. As a result, you will be required to pay property taxes based on the property's current market value.

You will be required to register the property and pay taxes on it at the full market value if you purchase it for more than the market value.

How can I do property market value check?

The following are the determinants of a property’s market value.

• Setting, location and neighbourhood

• The level of construction and materials used

• The age of the house

You probably comprehended how to find the market value of a property.

When you are thinking about purchasing a property it is necessary to know the correct value of the property. By knowing the market value of the property you will be able to understand if the seller is trying to exploit you. You should also learn about how to check market value of property in order to get good returns when you are selling the property. 

How to check market value of land?

Basically, there are three important kinds of property valuation methods

1. Sales Comparable Method

This method is also known as the fair market value method. This process is used to calculate the rate of a ready to move apartment. To calculate the fair market value you need to know the price of neighbouring properties. At the same time, calculate the area per square feet of the raw property. 

Rate( Rs./ sq.ft)= 72000000/ 1800 = Rs 4000 per sq.ft.

Now you need to think about the amenities if you are wondering how to check the market value of a property. You need to take various factors into consideration such as bus stop, metro station, park, the floor of the property. Again if you are selling a furnished property, you can increase the price than the unfurnished or semi-furnished flats. The price of the property will be more if it is Vastu compliant.

1. Land and building valuation

This process is needed to calculate the value of a property under construction. Here is the formula:

Capitalized value = net income x  year's purchase value

1. value = 10/100 = 100/10 = 10

Capitalized value = 10,000 x 10 = Rs. 1,00,000/-.

The price of a building varies due to the quality of the raw materials used in the construction process. 

1. Rental Valuation Method:

Another method of how to check market value of house for rental purposes would be the rental valuation method. This method is used for renting out commercial properties and rental properties. 

The formula of rental valuation method is  ( 30000 multiplied by 12/ 1cr = 3.6%)

These are the most important valuation method to get an estimation on market value of property.

I hope you like my answer.

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