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THE EXPERT

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How to properly evaluate your property?

Before we deal with the evaluation we must clarify the Concept of the term "Property".

In law, immovables are all goods that can not be transported without altering their essence, evidently opposing movable goods, which can move or have their own movement.

For the Brazilian Association of Technical Standards, property can be defined as well constituted of land and eventual improvements incorporated therein. It can be classified as urban or rural, depending on its location, use or vocation.

The Judicial Expert.

Judicial expert is the person who testifies before a court and who has the particular characteristic of possessing technical knowledge in a certain science, art or trade, which allows him to express opinions on materials relevant to the formation and / or resolution of a court. 


To work as a Judicial Expert, in addition to the technical knowledge of the area where it is intended to work, it is necessary to have a degree and be affiliated to the Regional Council of the category. Public employees, retirees, recent graduates, professionals and business employees, whether architects, physicians, engineers, administrators, etc., may carry out this activity. The judicial expert acts in the courts of Federal, State and Labor Justice.

The Judicial Expert enters into action whenever a judicial examination is requested by one of the interested parties or in the opinion of the Court, in case the case does not present the sufficient elements, able to convince and, as a result, lead to a fair trial. The judicial expertise aims to take to the evidence material or scientific evidence to prove the truthfulness of situations, things and facts, achieved through procedures such as examination; survey; inquiry; investigation; arbitration; measurement; evaluation and certification.
It is then up to the Expert to issue, in the most objective and clear way possible, the Expert Report, which is a technical document and whose purpose is to establish, as far as possible, certainty about certain facts and their effects . Thus, the Expert clarifies the effects of a certain fact and the Judge fixes the effects of law. The Expert Report must be drawn up by the Expert himself.


The Expert (insofar as he acts as an auxiliary of justice) must: act honestly and impartially with regard to the search for the truth of the facts, that is, to have professional suitability; enjoy a good professional reputation; keep within the area of ​​your specialty, taking into account only the technical aspects and presenting all the possibilities in your Award; to be aware that the issues involved must be resolved even if they take on contradictory aspects.

Property Inspection:

New and used real estate;

For retail (supermarkets, shopping, etc ...);

Old constructions;

Expert report for identification of constructive pathologies;

Evaluation of rural areas.

PROPERTY ASSESSMENT:​​

Urban Real Estate - Industrial Real Estate - Rural Property;

Apartments, Houses, Commercial Units, Buildings, Stores, Lots, Sheds, Industrial Complexes, Farms, Glebas and Haras. According to the ABNT - Brazilian Association of Technical Standards, part 2 of the standard is mandatory for any written statement on the evaluation of urban properties and aims to complement the general concepts, methods and procedures specified in part 1 for the technical services of evaluation of urban real estate.

For non-urban real estate, ABNT provides part 3, elaborated to detail the general procedures with regard to the evaluation of rural properties, including rural easements. The different norms established for the evaluation of real estate are detailed and rigid, in order to reduce the subjectivities of the appraisal agent. There are several weighting factors used to properly mix the unit the comparative elements.

In order to avoid inconveniences, before contracting the services of Engineering for Real Estate Assessments, it is necessary to verify the technical quality of the professionals and if they are qualified and qualified to perform the activity, since the final quality of the Appraisal is the reflection of the expertise of the professional.

The purpose of the evaluation should be clarified to the professional before the beginning of the work, which facilitates the adoption of the best methodology to be used.

The applicable methodology is a function primarily of the nature of good evaluating, assessing the purpose and the availability, quality and quantity of information gathered in the market.

Your choice must be justified and stick to that established by NBR 14.653, aiming to portray the market behavior through models that rationally support the conviction of the value.

Rating for leasing, acquisition, donation, mortgage, payment in kind, Exchange, Warranty, Fins Accounting, Insurance, auction, Award, among others.

The specifications of the evaluations are also fundamental for the preparation of Reports with the correct technical background. The specification must be established by reason of the time required, the resources spent, the availability of market data and the nature of the treatment to be employed.

The evaluations should also be specified as to the rationale and precision.

The rationale should be a function of the deepening of the evaluation work, with the involvement of the selection of the methodology due to the reliability, quality and quantity of the available sample data.

Accuracy shall be established where it is possible to measure the degree of certainty and the level of tolerable error in an assessment. It depends on the nature of the asset, the objective of the evaluation, the market situation, the scope of data collection (quantity, quality and nature), the Methodology and the instruments used.

The degrees of foundation and precision in the evaluations should be defined in the other parts of NBR 14.653, keeping the general criterion of assigning degrees in numerical and increasing order, where grade I is the lowest.

The Valuation Report shall contain at least the following information:

  • Identification of the natural or legal person and / or legal representative who has requested the work;

  • Objective of the evaluation;

  • Identification and characterization of the good evaluating;

  • Indication of the method (s) used, with justification of the choice;

  • Specification of the evaluation;

  • Result of the evaluation and its reference date;

  • Full legal qualification and signature of the professional (s) responsible for the evaluation;

  • Place and date of the award;

  • Other requirements foreseen in other parts of NBR 14.653.

Glass Buildings

EVALUATION OF BUILDINGS

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THE EXPERT

METHODOLOGY

According to the norm NBR 14.653, the methods are divided into:

Direct Comparison;

In order to carry out the present work, we used the Direct Comparative Market Data Method, which allows the determination of the value taking into account the different trends and fluctuations in the Real Estate Market, normally different from the fluctuations and trends of other branches of the economy. this is the most recommended and used for the evaluation of real estate. 
In this method, the determination of the value of the property evaluated results from the comparison of this with others of nature and similar intrinsic and extrinsic characteristics, from data surveyed in the market. Characteristics and attributes of the obtained data are weighted by normalized homogenization techniques.

Evolutionary;

It identifies the value of the good by the sum of the component parts of it. If the purpose is the identification of the market value, it should be considered the Marketing Factor, preferably measured by comparison in the market.

Involuntary;

It identifies the market value of the asset, based on its efficient utilization, based on a technical-economic feasibility study model, through a hypothetical enterprise compatible with the characteristics of the good and with the conditions of the market in which it is inserted, considering viable scenarios for execution and commercialization of the product.

Cost Quantification;
Used to identify the cost of reissuing improvements. It can be appropriated by the basic unit cost of construction or by detailed budget, with identification of the sources consulted.

Capitalization of Income;

Used in evaluations of real estate base enterprises (hotels, shopping centers and others). In these undertakings, the requirements of NBR 14653-4 must be observed . It can also be used to determine the market value, in situations where there is no direct or evolutionary comparative method, or alternatively when the purpose of the valuation is to identify the economic value.

Residual Criterion;

In the case of land assessment, if the absence of bare ground is found, it may be allowed to calculate the value of the land incorporated by means of the residual criterion, which consists in the definition of land value by difference between the total value of the property and the value of improvements.

Conjugation of Real Estate Appraisal Methods;

The combination of methods may be used in the preparation of the technical appraisal report for a property, calculating, directly or indirectly, the values ​​of the land and of the improvements, and the market conditions must also be considered, with the use of the marketing factor

​The impossibility of applying the methods mentioned, it is allowed the use of another procedure that aims to represent a likely scenario of the current real estate market similar to the appraisal report scope of the property, whether residential, commercial or industrial, provided that:

- the reason for not complying with the normative criteria is explained in the award;

- their use is justified and the essential requirements are met.

Before investing in real estate consult a specialist!

METHODOLOGY
INFORMATION

INFORMATION

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WHO AM I

WHO AM I

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RODRIGO CARUZO

Broker and Judicial Expert Real Estate Appraiser

Enabled by CRECI-SP nº 94.211-F in 2.009 and by COFECI - CNAI nº 4.888 in 2.010.

 - Working in the real estate market since 2006, working in Imobiliária Pró-Imóveis Ltda in the city of Catanduva-SP, passing through the administrative sector, rental and sale. in 2008 I came to Limeira-SP, where I worked at Imobiliária Tiengo Negócios Imobiliários and Roque Imóveis as a Realtor, one of the most respected real estate agents in the city and region.  

 -  Specialized in the rendering of expert and valuation services in the Extrajudicial and Judicial spheres since 2010. I act as Expert of the Judgment and as Assistant Expert of  

CONTACT

Telephone:

(19) 9.8853-0013

E-mail:
Contact:

Fill out the form below  as soon as possible to return your contact.

Address:

Rua Carlos Nilson, 101 - Vila Sao Luiz, Limeira - SP, Brazil

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