valuation – NovaStar Appraisals

Any real estate transaction will be incomplete without an appraisal. This process of valuation is needed for determining home equity loans, studying existing credit lines, and property refinancing. The main goal is to obtain and understand the property’s fair market value. When an appraiser visits your home, he or she generally uses these three appraisal approach types: sales comparison, income capitalization, and cost approach.

Sales comparison is often used with the other two approaches but is more focused on comparing prices per unit area of properties with similar features in the area. A would-be buyer is presented with this comparative listing and given the overall, averaged appraisal value. A sales comparison is often the most accurate approach as it makes use of current market values.

The income capitalization approach is used more for commercial, income-generating properties. In this appraisal type, models are used to determine the behavior of participants in the market, from past income performance to future revenue possibilities. The point is to best present real estate investors with a sound estimate of the viability of the property.

Lastly, the cost or “summation” approach gives less premium on the property itself and more on any needed improvements that makes its value depreciate. These depreciations include the costs for new construction or replacements to meet current industry standards.

NovaStar Appraisalsis an independent hub for different forms of appraisals, with focus on real estate. The company is devoted to assisting clients in finding the best appraiser for their properties. For more insights on appraisal services, visit this page.

For a coin collector, having historic coins appraised can be quite an anxious time. After all, these coins, collected over a period of time, are investments themselves. Let’s take a look at a few interesting facts on appraising historic coins.

Demand and rarity

The prices of historic coins depend on a number of factors. First, there’s the demand for the coin. Demand is affected by availability and popularity. The rarity of a coin also figures into the price. Some coins, for instance, can no longer be found anywhere else. These rarer coins are more expensive than most.

Grade and condition

The American Numismatic Association has set the standard for assessing the grade and condition of coins. The better the grade and condition, the more expensive the coin. The International Bank Note Society is the body that does the same, but with paper money.

Origin and date

The origin and date of a coin can also influence its value. However, the age of a coin doesn’t always relate to its price. There is, however, the assumption that older coins may be harder to find. Rarity though trumps age.

Commemorative

Commemorative or special-issue coins are almost always limited edition coins, and as such almost always given a higher value than ordinary historic coins of the same make and year.

NovaStar Appraisals has been assisting clients in finding the best appraiser for their valuables and properties. Learn more about the company here.

Tag: valuation

The Different Approaches To Real Estate Appraisal

A Few Interesting Facts On Appraising Historic Coins