Site Inspection and How a Property Is Evaluated
A site inspection is not just a casual visit to a property; it is a structured professional process that forms a fundamental part of real estate valuation. The appraiser visits the site with trained eyes and a clear checklist to collect data that cannot be obtained from any other source.
Outside the Property
The appraiser observes external improvements such as streets, sidewalks, their width, road lighting, and available parking. The surrounding environment and neighborhood are also examined, along with positive and negative factors affecting the property’s value.
Inside the Site
The appraiser verifies the property’s shape and boundaries against the title deed and property layout. The land’s topography, level, and slope are recorded. Utilities and alternatives such as septic tanks, wells, and solar energy systems are also inspected, while site improvements including terraces, pavements, and drainage systems are documented.
Inspection of Improvements and Buildings
The appraiser begins from the exterior by observing the architectural style, number of floors, type of exterior construction materials, roof, and foundation. The inspection then moves inside, starting from the main entrance to examine the floor layout, number of rooms, construction materials, finishes, ceiling height, heating and cooling systems, vertical transportation systems, and fire protection systems.
Identifying Problems and Defects
During the inspection, the appraiser looks for issues and defects such as traffic, noise, encroachments, visible pollution, and functional obsolescence like insufficient bathrooms or an unsuitable kitchen layout. The inspection also includes checking for leaning walls, cracks, moisture, paint discoloration, cracked flooring, and signs of exposed concrete.
Photographic Documentation
Taking clear, colored photographs is an essential requirement in the report. At a minimum, the photographs should include the front and rear elevations of the property as well as the street view to identify the location.