Property valuation is not as easy and simple as many of us make it to be. At the same time it is also a fact that property valuation is very important whenever there is a need to buy or sell a property. It is also important for periodic assessment of the value of a property. Hence, there is hardly any doubt that in spite of being highly complicated and difficult it is very important for all those who have properties or even other forms of movable and immovable assets. Let us now try and find out why property valuation is considered so very complicated and complex.
It is considered complex because it calls for taking into account various factors. It also required gathering information from many sources. Though the main purpose of property valuation is to get a clear idea about the fair market value of the property it has quite a few other important purposes and requirements too. Further there are different types of property valuations. While some are simple and straightforward there are other that are extremely complicated and tough. For example, whenever there is a need to value a property that is more than a few decades old it is not as easy as other types of valuation. The valuers have to look up old records and quite a few such records could be available only the manual format, or they could have been scanned. Identifying them is in itself a big task to say the least.
There is also the need to manually examine and inspect the property which is not an easy task. Once the manual inspection is over the onus lies on the valuer to ensure that what is available on the ground matches perfectly with the property documents that are usually available with the seller. Quite a few times, hidden surprises like easements may never come to light without proper manual verification of the property.
A simple figurative statement of the fair market value is not what the customers expect from a valuation report. They would like to have other interesting and subjective pieces of information. Further, the method of valuation would also vary from case to case. It is the responsibility of the property valuer which he or she thinks is the best. Further timely submission of valuation report is also very important especially for valuers who are attached to banks and financial institutions.
What exactly is property settlement and what are the reasons why it is considered so very important and vital. Unless we know the answers for the same we will always be under the impression that property settlement at the end of the day is a wasteful expenditure. We will also be under the false opinion that property settlements can be done by the customers themselves using some vague and not well explained DIY settlement methods. Those who have tried this out have mostly landed in problems and have had to restart the whole process again.
Property settlement is considered very important because it helps the transfer of the ownership from the seller to the buyer. These ownership transfers have to be reflected in the books of the government and are therefore quite complicated to say the least. Further the ownership transfer has to be completed within a stipulated time period failing which the entire transaction may run the risk of falling through. Taking these above points into account, there is a need for appointing professional property settlement companies and individuals to take the matter forward. Now let us look at the various processes that are involved as far as property settlements are concerned.
The entire process starts once both the parties decide in principle to enter into a commercially relevant contract. It ends only when the property ownership transfer is effected in the government record books and also only when the seller gets his due consideration. Now coming to specifics about the process, there are quite a few and it may not be possible to list them all down in a single article. However we will have a look at some important parts of property settlement.
Whenever a customer comes with a request for property settlement, the service providers start off with a valuation of the property. This is done to establish the fair market value of the property. If the same is accepted by both the parties, then a formal agreement is drafted between the two. Once this has been completed the property settlement companies get into the job of legal scrutiny of the property in question. They look up the records and documents in great details and ensure that everything is in order. They pay special attention to covenants and easements which could come as a rude surprise to the buyer when a lot of water has flown down the bridge. The role of other support staff is also very important.
Though many of us would have heard about property conveyancing we should not be surprised if we do not have the right knowledge or information about the same. This is the case with most of the retail customers who are into buying and selling of real estate properties. This is because they are into buying of real estate properties once or twice in their entire life and hence it is quite unlikely that they will have the full knowledge about the same. However, one has to understand that property conveyancing is extremely important as far as transfer of ownership of properties is concerned. There are procedures and formalities that have to be completed only after which is it possible to transfer the property from one entity to another. These entire processes when they are combined as one unit are referred to as property conveyancing. We have to bear in mind that conveyancing is not about just one or two processes but it involves the joint effort of many professionals.
Whenever there is an in principle decision to buy or sell a property there is a need to enter into a buyers or sellers agreement. This is itself is a very complicated legal document which should lay down the various terms and conditions. Since, this agreement has a legal angle to it, it is very important to ensure that it is drafted by only an experienced real estate lawyer or attorney. It is actually from this stage that the job of real estate conveyancer starts. Once the agreement has been entered into, then there is to job of going through the various other processes which ultimately culminate in the smooth transfer of ownership from the seller to the buyer.
As mentioned above there are a number of professionals who are involved in the above process. They include, apart from real estate lawyers, property valuers and appraisers, specialists in documentation and other administrative staff. The role of property valuers is also very important because they ensure that both the buyers and the sellers are able to the right information about the fair value of the property. Additionally, there are also other pieces of subjective information that also helps the buyers in particular to take an informed decision to buy or not to buy the property. The role of documentation specialists is also quite crucial because they help the lawyers and other professionals in drafting the agreement, and other such useful jobs.
It is a known fact that when it comes buying and selling of real estate property the role of conveyancers is extremely important. It would be virtually impossible to transfer the ownership from one person to another or one entity to another without their professional help and support. Hence, whenever somebody decides to buy or sell a property, the first thing that they should do is to look for the right conveyancing company. However, identifying the right conveyancing company is easier said than done. This is because there are a number of such service providers in the market. Hence, looking for the specific conveyancing company that meets all our requirements and needs is not an easy job. It would therefore be useful if we had a reasonably clear understanding about the ways and means by which we can identify the right professional keeping in mind our specific requirements.
First and foremost, we should get in to the task of identifying a conveyancer only when we have decided in principle to buy or sell the property in question. This is important because the role of these professionals starts only when there is an agreement between the buyer and seller to enter into a commercially feasible and legally enforceable contract. Now coming to specific about identifying the right professionals here are a few important points that could be useful.
As a starting point it is always better to look for professionals who have a proven track record with rich experience in this field. While there is no doubt that qualification is an important criterion for identifying these professionals, experience is also equally important if not more. Experience will make it possible for conveyancers to handle even the most complicated and difficult tasks. Further it is important to only look for conveyancers who are certified and registered under the law to carry out this business. Doing business with unregistered and uncertified conveyancers is the same as getting oneself treated from a quack.
Good conveyancers are those who will be in a position to handle the entire job of conveyancing from start to end. While piecemeal approaches should be the desire of the customers, conveyancers are considered good and renowned only when they can handle the entire matter from start to end. Timely submission of reports and returns is another important point that should be kept in mind while recruiting these professionals. While cost is a factor, it should be not at the expense of quality of service.
Before having an understanding about choosing the right conveyancing professionals, it would not be a bad idea to understand the meaning and significance of conveyancing. Only then will we be able to gauge the importance and even indispensability of hiring these professionals. Conveyancing is often referred to as the total steps and processes that have to be gone through from start to end before the ownership of a property gets transferred from one entity to another. However, this is exclusive of the process that is required to identify the right buyer and seller. It is about the various processes that have to be gone through once there is an in principle agreement to buy or sell a real estate property. There are a number of such steps and processes and the reason why customers look to professionals for smooth conveyancing is because of the various complexities and difficulties involved. Further unlike buying or other movable or immovable assets, there are a number of legal implications that have to be taken care of before the actual ownership transfer takes place.
Each of these processes are interdependent and as important as the other. Whether it is the role of the real estate lawyers or attorneys, real estate appraisers and valuers or that of the real estate property manager or document specialists, none of the roles can be considered any less important or significant than the other. The role of real estate lawyers and attorneys is to ensure the legal sanctity of the property that is being bought or sold. On the other hand the role of real estate property managers is to make sure that the property in question is being handed over to the buyer in the right state of construction.
Similarly the role of real estate appraisers and valuers is also considered extremely important. They play the very important role of ensuring that the stakeholders are able to get the right information about the fair value of the property that is being bought or sold. Further quality real estate valuation reports are also very useful for the buyers because it has a number of subjective pieces of information that are very important to the buyers particular. Hence, in fine there is hardly any doubt that the various professionals engaged in conveyancing have important roles to play.