As a commercial property owner, you may want to sell your real estate one day or you may want to lease your property to other business owners. You may be wondering how much your commercial property’s value is. Brazelton Insurance Group is here to guide you through several different factors in determining the value of your commercial property. With the following information, be sure to consult with your insurance agent with each of the following values to truly determine the property value:
Market Value: The market value of your property is an estimated amount your property and land may sell for if it were to sell in today’s market. This can be affected by the condition, location, size, real estate market, and the value you sell the property for.
Replacement Expense: The replacement expense of your property is the cost of replacing or repairing your commercial space with the materials used initially. Generally, the replacement expense is much lower than the market value since the value of the land is not accounted for.
Actual Cash Value: Usually the lowest of all three values, the actual cash value is the cost to replace or repair your property with the wearing down of the owner’s assets.
For further information on how to determine the value of your commercial property or to learn more about how we can support you, contact us at Brazelton Insurance Group today.