Does your notary have all the talents? Real estate valuation is another of the services offered by notaries. To be sure of determining the right price for your property, don't hesitate to call on your notary.
Why ask for a property valuation?
Determining the value of a property is often crucial to making the big decisions in your life. Having your notary carry out an appraisal will help you determine the market value of a property at a given point in time. In concrete terms, the aim is to define the exact price at which the property can be bought or sold. In this field, valuation is of the utmost importance. Sellers always tend to over-value their property, and buyers to under-value it.
Real estate appraisals can also be commissioned by the courts or by the parties themselves. For example, in the context of a divorce, an expert appraisal will facilitate the liquidation of the community. In the case of a family settlement, an expert appraisal of your property will help you to divide your assets fairly. What's more, banks are increasingly demanding a valuation of your property as a guarantee for the credit they grant.
Why call in your notary?
Appraising a property cannot be improvised. That's why you need to entrust this task to a real estate professional who will carry out your appraisal with complete impartiality. By virtue of their profession, notaries keep a close eye on the real estate market. You can therefore count on the reliability of a notary's valuation. To do this, he relies on a real estate database (PERVAL file) supplied by notaries when they register their deeds. In this way, he can analyze the property and compare it with others in the local area.
How to carry out the valuation
To carry out his appraisal, the notary can rely on his knowledge of the real estate market, on the reference values of which he is aware, but also on an in-depth study of the property. He also takes account of supply and demand. The "comparison" method enables him to refine his calculations. This involves consulting the prices charged for recent sales of properties of the same type, with similar characteristics, located in the same area. The environment, location and attractiveness of the property are also taken into account. Other parameters are also taken into account, such as the type of property (new or old), living area, quality of construction, work to be carried out or not, etc. The orientation of the property, the presence of a balcony, terrace or elevator for multi-storey buildings, and the existence of servitudes (e.g. right of way) can also influence the price. Another method is called "income capitalization" (also known as the "yield method"), which involves estimating the price at which you could rent the property, rather than the selling price. This method is mainly used when there are few similar properties being sold, and makes comparison difficult. As part of this service, the notary provides you with :
- either a "certificat d'expertise" (or "avis de valeur"). This gives a relatively succinct estimate of the property's value. It uses a valuation method that excludes any audit of the property. It is less costly and has less legal impact;
- or a "detailed valuation". This more detailed document determines the property's market value based on a precise set of criteria. It is accompanied by photos and transaction examples. In addition, it has more legal value than the valuation certificate, as it engages the responsibility of the person who produced it.
Stéphanie Swiklinski