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Property Valuation and Property Price

Purchasing of property is the most important investment which people make in their life time. The economic forces of demand and supply are the major factor in deciding the price of any product and the real estate is no exception. The Value of the property is the function of demand and supply and if the demand for the house increase faster than the supply, then the prices go up and vice versa. A few of the factor that affect the value of the property is listed below:

Infrastructural Development – Infrastructure is the major consideration for home seekers. Locations having good infrastructure have a higher value. Facilities like accessible roads, railways and other means of public transport have been seen to have a higher price. Proximity of Social infrastructure such as schools, hospitals, super markets, retail stores, shopping establishments, parks hospitals are priced higher.
Location – The location of the property is the most obvious factor when it comes to valuing a property. The location is not just a geographical location, also the closeness to key amenities and facilities. The location includes the quality of the area of the city or town and properties in prime location get a higher price. Properties located in rural areas cost less.
Geographical Stability – By Geographical Stability we mean the areas that are prone to the effects of the natural phenomena. If natural showers or rains cause water to be stagnant in the area, then these areas are not preferred. Similarly areas prone to natural phenomena like flooding, tsunamis, water scarcity are not preferred.
Age and Condition – The Land on which your house or apartment is built usually increases over a period of time but the structure is depreciated as the years pass by. Properties that are well kept and maintained well are preferred than properties that need renovation or works to be done. The buyer will also take into account the costs involved for renovation.
Size and Design – Houses that are well designed with optimum use of the space and natural sunlight and ventilation increases value of your property.
View – Any buyer will check on the view from the windows / balcony and will prefer an unblocked good view than a blocked one. Property with blocked view will have a lower value than a property with a good unblocked view.
Surrounding Area – What is located around your neighbourhood will have a great impact on the price of your house. This also includes the plans for the neighbouring areas situated like an upcoming project or new infrastructural development coming up in the near future.

Property Valuation

Property Valuation is the estimate of the current market value of your property based on the factors mentioned above and other economic factors, etc. Property Price is the price that is executed between the buyer and the seller and this price is either below or above the market value. The motive of the buyer is to buy the property at the lowest possible price and the motive of the seller is to sell it at the highest possible price.

If the seller is in need of urgent money, the buyer can use it to his advantage. Similarly if the property is appealing to the buyer and is his dream home, he will be willing to pay a higher price, the seller can use it to his advantage. The emotional and personal needs of the buyer and the seller also play a very important part in the price of the property and the one who wins is …………….

The Roles and Responsibilities of Property Manager

A Property Manager is a third party person or a firm hired by the owner of a property to manage and maintain his property and to handle the day to day affairs of the property. The property could be residential, commercial, industrial ranging from single homes to large apartment complexes – Roles Responsibilities of Property Manager.

When the owner is not able to handle and attend to the details or not interested in doing or handling the day to day affairs, he hires a property manager for a fees. Therefore the Property Manager’s main responsibility is towards the owner and secondly towards the agency for which he works. The Property Manager has to periodically report to the owner with necessary updates on the property and the owner may also delegate specific tasks apart from the regular tasks that is carried out by the Property Manager which is done for an extra fees mutually agreed upon.

A Property Manager has to arrange for a wide variety of services as per the needs, requirements and goals of the ownership. He has to deal with the regular services and also be quick enough to tackle the emergency issues services as and when it arises.

Roles Responsibilities of Property Manager

Property Manager should have a good understanding of the market value and rental values and also be able to understand the rent where the property is located and its comparison with properties in the same locality for any difference in rent. Property Managers should advice the owner on the right rent and fix the right rent to attract the tenants.

One of the major responsibilities of the Property Manager is Rental Assistance. It starts from finding a good tenant through reference or advertisements and other marketing techniques. On identification of a tenant, proper screening is to be performed by the tenant. A good property manager will ensure a long term tenancy and prompt payment of rent on time every month. If any point of time, the tenant does not pay the rent, the property manager should get to the core of the situation and ensure proper payment of rent and may have to handle and evict the tenant.

The Property Manager handles the lease with necessary protection to the owner and his property. The Property Manager is responsible for listing the amenities when a tenant moves in.

Similarly he is responsible for inspecting the property when the tenant moves out and determine the amount of deduction from the security deposit and cleaning the property and bringing it back to rentable condition. The property Management should be able to fill in the vacant property in minimum time by his Rental Assistance Service.

Property Managers are responsible for physical management of the property and has to be well equipped to handle any Repairs or Maintenance irrespective whether it is vacant or occupied by the tenant.

The maintenance could be a regular maintenance like servicing of the amenities in the house or any emergency maintenance that may arise during the tenure of the maintenance. Overall the Property Manager should provide excellent Property Management Services.

Property Management – An Overview

Property Management, as the name indicates is the process of managing and maintaining properties that are available for rent and/or maintenance. Property Management normally involves managing and taking care of property that is owned by other party (called as the Owner / Land Lord). The property is maintained by a Property Management Company (Property Managers) – Property Management Overview.

We provide Property Management Services involving ongoing communication with the owner with regular updates along with the regular maintenance and emergency maintenance issues. The scope of work also varies with the type of property, size of the property, location and condition of the property.

A generalised list is given below:

Representing the owner.
Payment of Property Taxes.
Maintenance of the amenities in the house including follow up of AMC (Annual Maintenance Contract) of the amenities with the Service Providers.
Rental Assistance Service.
Assess the rental value of the property.
Advertise the Rental Properties and Marketing them through online ads, local agents, website, known sources, companies etc.
Qualifying, screening and checking the background of the interested tenant.
Proper Documentation of the Lease Agreement along with the amenities list.
Rent Collection and follow up with the tenant and updating the owner.
Tenant Management.
Renewal of Lease Agreements.
Inventory check when the tenant moves in or moves out of the property.
Coordinate the Repairs & Maintenance when vacant and occupied by the tenant.
Maintenance of accounts and finances of the property.

Apart from the above listed works, Property Management may include a list of certain specific things relating to a property that need special attention. These specific things which are the concerns of the owner are to be taken into consideration by the Property Manager and the specific things could be like gardening, landscaping, pest problems, entry of birds in the house, any other issues with the house that could be specific based on the location of the property.

As per the statistics, most of the owners who avail the Property Management Service give their property on rent. The Property Manager should be able to find tenants quickly through his Rental Assistance Service.

The tenant is to be good and reliable who will maintain the property and pay the rentals on time. Therefore an important aspect of Property Management is filtering and screening of the tenants for a smooth and tension free transaction. There should be a smooth move in and move out procedures whenever the tenant occupies and vacates the property.

Property Management Overview

A few minority of the people who look out for people to maintain the property so that whenever they visit the property it is in liveable condition. The Property Manager should take adequate steps to keep the property clean and the amenities in the house should be in working condition at any point of time so that whenever the owner visits the property it is in perfect condition to move in immediately and a happy living.

Summing it up, Property Management involves taking appropriate actions from time to time to preserve the value of the property and generate income. It includes different facets of managing a property which includes maintaining and handling all the day-to-day activities that are centered around the Property thus maintaining the property as per the goals of the ownership.

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