David

Butler          

 Property Valuations Melbourne

WHAT I DO, AND HOW I DO IT!

"Location, Timing, and Price".
Yes, for sure, Location will always be the first factor to consider. This relates to how suitable a block of land is to the designated purpose, and how desirable the market considers that block to be. That is true no matter whether the purpose is residential, commercial, or any of the other many purposes to which land may be put.
But what about Timing? This is about knowing where/when in the property cycle (for that particular class of property) the property currently is placed.
And Price.

From time to time, my clients ask

me to explain how I arrive at a

value for a property ... to explain

my methodology.

 

So on this page, you will find a

brief explanation of the primary

methods that I employ, in the

valuation of the most common

classes of real estate in Australia.

 

Please remember that it takes a 3

year Bachelor Degree to qualify as

a valuer! So what follows is just a

glimpse of the complexity

involved in providing you with an

accurate property valuation.

  • Residential Property.

 

      The primary method

       is known as:

       "Direct Comparison":

 

If the property to be valued is a

house or a unit, I search my

database for recent sales in the

same suburb.

 

(For a house, I will then look for

sales of similar size land).

 

Next, I compare the locations.

Then I will check to see the

numbers of bedrooms, and

bathrooms.

 

Of course, construction types,

age and condition are also

important factors.

 

  • Commercial Property.

 

       The primary method

        is known as:

        "Capitalisation of

        Nett Rental":

 

In this class of property, the use is

often office, warehouse, factory

or retail shop.

 

Whether or not the property is

owner-occupied, leased to a

tenant, or vacant, I start by

determining the market rent on a

per square metre per annum

basis.

 

I then make various adjustments

to my calculations, to take into

account the prevailing

circumstances.

 

After determining the percentage

return that the market expects for

such a property, I am able to

arrive at its market value.

  • Special Use Property.

 

       The primary method

        might (only might!) be:

        "Summation":

 

For example, over the years I

have valued a number of

churches.

 

Generally, I have found it best to

approach these valuations by

first determining the value of the

land as if it was vacant, (without

any buildings or other ground

improvements).

 

Next, having measured the building, I determine the added

value after depreciation.

 

Having independently

established the values of the

land and the improvements, I am

then in a position to arrive at a

value for the property as a

whole.

WHO I AM

Back in the 1980's, I worked for some of the large real estate companies, including Knight Frank, and Colliers. But my personality and temperament is best suited to being my own boss, so before long I started my own valuation business. It's been a great pleasure to assist thousands of clients over the years, and today I am as enthusiastic about what I do as the day I launched my business.

 

Of course, the industry has changed substantially since that time, with technology and database access being aspects of the work that have brought in new processes and practices.

 

What has not changed about what I do, is the personal and individual service that I provide to my clients, which is why many of them have used my service multiple times over the years!​

                SERVICE AREAS

The Greater Melbourne Metropolitan Area.

Rural areas, on request.

Click below, first for

3 "golden minutes",

and next, for 90

"silver seconds",

with Dave Butler!

CONTACT ME NOW, PLEASE!

IT'S A FREE CALL

TO SPEAK TO DAVID BUTLER:

 

1800 301 701  

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