When a property valuation is organized by a CNE (Centre National d’Expertises) expert immobilier in France, the process follows a structured approach to ensure accuracy, reliability, and compliance with legal and professional standards. Here’s a general outline of how such a valuation is organized:
1. Initial Contact and Agreement
- Client Consultation: The process typically begins when a client (individual, business, or institution) contacts the expert immobilier to request a valuation of a property. The client may include specific reasons for the valuation (e.g., sale, inheritance, tax purposes, etc.).
- Mandate Agreement: After understanding the client’s needs, the expert immobilier and the client sign a formal mandate (contract). This document outlines the scope of the valuation, the type of property to be valued, the valuation method to be used, and the estimated cost. This agreement also clarifies the timelines for completing the valuation.
2. Gathering Preliminary Information
- Property Information: The expert immobilier gathers all necessary details about the property, including:
- Legal documents such as the title deed (“acte de propriété”).
- Property tax documents (“taxe foncière”).
- Plans or architectural drawings, if available.
- Information on any modifications or renovations made to the property.
- Client Interview: The expert may ask the client for additional context, such as the history of the property, any specific issues (e.g., legal disputes, structural problems), and the intended purpose of the valuation (e.g., for inheritance or sale).
3. On-Site Inspection
- Physical Inspection: The expert immobilier conducts a thorough on-site visit to inspect the property. This is a critical step for determining the condition of the property, noting any special features, or identifying factors that might influence its value (e.g., location, amenities, condition, architectural style, etc.).
- Interior and Exterior Assessment: The expert checks the interior and exterior of the property, assessing elements like size, layout, age, condition of finishes, quality of construction, and potential for future development.
- Photographs and Measurements: During the inspection, the expert will take photographs and detailed measurements of the property to ensure accurate calculations. This includes noting the size of the land, the surface area of the living spaces, and any outbuildings or additional features.
4. Market Analysis and Data Collection
- Market Research: The expert immobilier conducts a detailed analysis of the local real estate market. This includes reviewing:
- Comparable Sales: Recent sales of similar properties in the same area to determine market trends.
- Current Market Conditions: Trends in property values in the area, including supply and demand factors, economic conditions, and changes in local zoning or regulations.
- Public and Private Databases: The expert uses databases, such as the Base des Prix de Marché (a government database of property sale prices), to gather reliable and up-to-date market data.
5. Valuation Methodology
Depending on the property type and the purpose of the valuation, the expert immobilier will choose an appropriate methodology:
- Market Comparison Approach: The most common approach for residential properties, this involves comparing the subject property to similar properties that have recently sold in the same area.
- Income Capitalization Approach: Used for rental properties or commercial real estate, this method values the property based on its income-generating potential (e.g., rental income, operating costs).
- Cost Approach: Often used for specialized or unique properties, this method calculates the value based on the cost of replacing the property, accounting for depreciation and land value.
Combination of Approaches: In many cases, the expert will combine multiple methods to ensure an accurate and balanced valuation.
6. Drafting the Valuation Report
- Detailed Report: The expert immobilier prepares a comprehensive written report that includes:
- Property Description: A detailed description of the property, including size, location, condition, and any relevant features.
- Valuation Analysis: A clear explanation of the methodology used and the reasoning behind the final valuation, supported by market data and comparable sales information.
- Legal and Financial Considerations: Any legal issues, such as ongoing disputes, zoning restrictions, or rights of way, that might affect the value of the property.
- Photographs and Diagrams: Visual documentation of the property to support the analysis.
- Market Context: An overview of current market trends and conditions in the area.
7. Delivery of the Valuation
- Final Report: Once the valuation is complete, the expert immobilier delivers the final report to the client. This report may be used for various purposes, including real estate transactions, legal matters (e.g., inheritance), or tax assessments.
- Consultation: If needed, the expert may discuss the findings with the client, explaining the reasoning behind the valuation and answering any questions. If the valuation is intended for a legal proceeding, the expert may also be required to testify in court or provide additional clarifications.
8. Ongoing Support (If Necessary)
- Follow-Up: If the valuation is part of an ongoing process, such as a real estate sale, tax dispute, or legal case, the expert immobilier may provide further support. This might include revising the valuation if new information becomes available or defending the valuation in court.
9. Regulatory Compliance and Ethics
- Adherence to Standards: Throughout the process, the expert immobilier ensures compliance with the relevant legal, ethical, and professional standards set by bodies like the Centre National d’Expertises (CNE), CEIF (Chamber of Experts in France), and other regulatory frameworks. This ensures the valuation is reliable and defensible.
In summary, a property valuation organized by a CNE-certified expert immobilier in France is a structured process involving thorough research, inspection, analysis, and reporting. The expert follows established methodologies and adheres to professional and legal standards, ensuring that the valuation is accurate, reliable, and suitable for its intended purpose.
JayZee will respond to your enquiries within a day and will normally organise a site-visit within a week. The full evaluation report will be ready within 7 working days after the visit, unless absence of documents or impossibility to meet with local planning agencies take longer to set up.