Find out how much your house is worth

1. Definition of market value
Market value is the estimated amount at which, on the date of the study, an asset (property) would be voluntarily transacted between a buyer and a seller, in a free transaction, after negotiation, without coercion.

2. Market conditions
The market study is influenced by several factors, such as the current state of the real estate market, the interest rate, which regulate the law of supply and demand. Other important elements are the location, the existence of licensing, the areas, the state of conservation of the property, the quality of the materials, the age, accessibility, the surroundings and the adaptation to existing territorial planning plans (PDM).

3. Methodologies

To determine the market value of the property, the following methods were used:

- Comparative (or Market) Method
The Comparative Method requires the selective treatment of data collected in the market that comprises the property. In other words, it is based on comparing the property under analysis with identical properties that were traded in the market in which it operates in the short, medium and long term.
To do so, it is necessary that there are goods on the market that allow comparison with the property you wish to evaluate.
The aim is to estimate the value at which it is considered that the property should be transacted. It is therefore assumed that the intervening entities do not have special interests in the property and that there are no charges.
It results from the allocation by unit indices, obtained through prospecting the values ​​practiced in the area (or comparable areas) for comparable properties, free of any encumbrances, duly homogenized.
 

- Income Method
The Income Method is based on the capitalization at convenient rates, generally framed by the matrix representing the rates practiced by the homologous market, of the income generated by the properties under study. Property is seen as an asset to which certain income is associated.

- Cost Method
The Cost Method is based on the market value associated with the implementation of existing improvements on the land, namely quality, cost of materials, labor and all associated expenses.