The aim of real estate valuation is to know the current market value of the property. This gives buyers and sellers appropriate price expectations and speeds up the conclusion of the contract. Find out here how you can determine the precise market value, who you can contact for an appraisal and which methods you can use to calculate the value of a property.
The market value (also known as the fair value) is the price that can be achieved when selling a property on the market. It comprises the current building and land value, with the land value generally being decisive. A wide range of factors influence the market value, above all the location, surroundings, size, age and condition of the property. The market value does not always correspond to the effectively negotiated purchase price (also known as the sales value).
The seller and the potential buyer of a property sometimes have very different price expectations. If you are selling your family home, for example, it comes with a great deal of sentimental value that has no impact on the market. It therefore makes sense to commission a neutral expert to carry out a property valuation. This ensures that both parties can enter price negotiations with realistic expectations and ultimately conclude a contract.
To have a property valued, you can contact various bodies:
You can get reliable estimates of the market value from associations and organizations in the real estate sector. These associations include:
Mortgage lenders also carry out real estate valuations. As a buyer, when you take out a mortgage on your property, your lender will always carry out their own property valuation. The lender uses this as the basis for calculating the loan-to-value ratio.
If you want to sell a property, you can commission an estate agent to carry out the valuation. When choosing an estate agent, make sure they are competent and reputable so that you can count on a realistic real estate valuation.
It is now possible to use free online calculators and apps such as PostFinance Homecheck. You can use the app to get a non-binding estimate of the value of your dream property. Online calculators are particularly useful for getting an initial rough estimate of the market value of a relatively “standard” property. However, you should not rely solely on an online estimate. Always consult experts as well.
There are three different methods for calculating the market value:
Download the app, take a photo of your dream property and get an estimated value in no time at all. You can use the app to determine an initial guide value.
Would you like a more accurate estimate? Enter a few additional parameters such as the municipality where the property is located or other characteristics and have a report with the brief property valuation and additional information sent to you as a PDF by e-mail.
If your intention to sell or buy becomes more serious, you should have the property valued on-site by a specialist in order to learn the exact market value.
A valuation of an owner-occupied property by a certified expert costs around CHF 800 to CHF 1,500. Prices vary depending on the property and region. Online tools are usually free of charge, but only provide rough guidelines. Estate agents also usually offer free real estate valuations.
Mortgage lenders normally determine the market value of single-family homes and owner-occupied apartments using the hedonic method. This method is also used for online tools. The larger the data pool of comparable properties, the more reliable the calculated value.
Investment, commercial and mixed properties are generally not valued using the hedonic method, but using the capitalization earnings method or a mixture of different methods.
