How to Appraise a Rural Lake Property

Appraise Rural Property

• 1

  Determine the facts on the property you are appraising. You need to know how much land there is, how much land there is that it is possible to build on, what structures are on the property and the condition those structures are in and the size of the lake that is on the property and its features like fish that inhabit it.

• 2

  Research homes and land for sale within your immediate area. Compare the amount of land, the size and condition of any structure on it and the zoning to the property being appraised. Put together a list of these properties and the price they sold for.

• 3

  Research the local real estate market trends. You need to find out how long properties are sitting on the market, if the population is growing or decreasing and if any new industries or business are coming into nearby areas. This will give you a better idea of the overall market and where it is heading.

• 4

  Review the comparable properties, taking note of the differences between them and the property you are appraising. Determine how much the property you are appraising would be worth in the real estate market based on those comparisons and the differences that set the property you are appraising apart.

• 5

  Take the real estate market trends into account. If the market has gone down and there are no new businesses or industries coming to bring new growth to the area the number you estimated in step 4 should be lower. If there has been growth and there are new industries and jobs opening that number should be higher.