Appraisals
Two different appraisals, for two different moments
A commercial appraisal to set a price, and a formal appraisal for the notary at closing.
A commercial appraisal answers what the property is worth in today's market. You use it to set a price before selling, to avoid overpaying before buying, or to divide an estate without a fight.
A formal appraisal is a different document. It is what the notary needs in order to close, because the deed fees and the transfer tax are calculated off that value. It is issued by an authorised valuer and carries their professional liability.
Confusing the two is expensive. A commercial appraisal is of no use to the notary, and a formal appraisal done in a hurry can land on a value that costs you more tax than it needed to. We tell you which one you need before charging you for the wrong one.
Common questions
- Why does the notary charge against the appraisal?
- Because their fees and several taxes on the transaction are calculated as a percentage of the property value, and that value comes from the formal appraisal. That is why the document matters so much: it moves the cost of closing.
- Can ejido property be appraised?
- A commercial valuation, yes, and it is useful for negotiating. A formal appraisal for a deed applies where the tenure allows a deed to exist. That is part of what we check case by case.