Commercial Valuations aren’t being done on Vacant Possession Value… unless the property is vacant
I’m currently collecting £1 for every time someone says to me: ‘all Commercial Valuations are being done on vacant possession value, my mortgage broker says so’. To avoid that £1 charge, read up on “5 methods of Valuation RICS” on Google… The one’s that you and I will be concerned with are the comparable method or the investment method. Essentially, the comparable method is the most widely known, and the values (whether rental or capital) are derived from other similar buildings. The investment method is used where there is an income coming from the property. I’ll go into more detail about this on this episode, and will importantly discuss what things could impact yields. Listen to my podcast, and leave a comment. I'd love to hear from you!