David
Butler
Property Valuations Sydney
WHAT I DO, AND HOW I DO IT!
From time to time, my clients ask me to explain how I arrive at a value for a property ... to explain my methodology.
So on this page, you will find a brief explanation of the primary methods that I employ, in the valuation of the most common classes of real estate in Australia.
Please remember that it takes a 3 year Bachelor Degree to qualify as a valuer! So what follows is just a glimpse of the complexity involved in providing you with an accurate property valuation!
-
Residential Property.
The primary method
is known as:
"Direct Comparison":
If the property to be valued is a house or a unit, I search my database for recent sales in the same suburb.
(For a house, I will then look for sales of similar size land).
Next, I compare the locations. Then I will check to see the numbers of bedrooms, and bathrooms.
Of course, construction types, age and condition are also important factors.
-
Commercial Property.
The primary method
is known as:
"Capitalisation of
Nett Rental":
In this class of property, the use is often office, warehouse, factory, or retail shop.
Whether or not the property is owner-occupied, leased to a tenant, or vacant, I start by determining the market rent on a per square metre per annum basis.
I then make various adjustments to my calculations, to take into account the prevailing circumstances.
After determining the percentage return that the market expects for such a property, I am able to arrive at its market value.
-
Special Use Property.
The primary method
might (only might!) be:
"Summation":
For example, over the years I have valued a number of churches.
Generally, I have found it best to approach these valuations by first determining the value of the land as if it was vacant, (without any buildings or other ground improvements).
Next, having measured the building, I determine the added value after depreciation.
Having independently established the values of the land and the improvements, I am then in a position to arrive at a value for the property as a whole.
WHO I AM
Back in the 1980's, I worked for some of the large real estate companies, including Knight Frank, and Colliers. But my personality and temperament is best suited to being my own boss, so before long I started my own valuation business. It's been a great pleasure to assist thousands of clients over the years, and today I am as enthusiastic about what I do as the day I launched my business.
Of course, the industry has changed substantially since that time, with technology and database access being aspects of the work that have brought in new processes and practices.
What has not changed about what I do, is the personal and individual service that I provide to my clients, which is why many of them have used my service multiple times over the years!
SERVICE AREAS
The Greater Sydney Metropolitan Area.
Hawkesbury, Blue Mountains, Campbelltown.
Rural areas, on request.
