Valuation services
Competent valuation is the key to successful sale of the object
Preparation of preliminary reports on the valuation of proposals to sale and consulting of owners on the valuation of their property is the integral part of the Auction House of the Russian Federation. This is a necessary component of the preparation for the auction of any kind of objects. Its goal is the successful auction and conclusion of transaction at highest possible price.
Specificity of auctioning is that the growth of object price in the auction depends on the number of people who want to buy it in the hall. The more applicants there are the greater the rise in the price of the lot during the trading session. Meanwhile the number of buyers to a large extent depends on selling price of the object for sale.
Practice of our work clearly demonstrates: initial selling price for the object put to the auction should be approximately 20% below market price. If the initial price is close to the market price, the object of sale will not cause competition necessary for a successful bidding. If the auction is able to attract several buyers, who in real time, during the bidding bargain for the object, the price can increase substantially and exceed the highest expectations of seller.
However the definition of initial price of the object at auction is always preceded by the definition of market price of the object, which must conform to today's realities of market.
The Auction House of the Russian Federation offers valuation services for real estate and business, as well as examination of valuation reports for compliance to the value stated in the report to the current market situation.
To generate an adequate initial price of the object and determine the pool of potential buyers the Auction House of the Russian Federation conducts market research. It includes research and forecasting of market size, price index, commodity market conditions, definition of consumer demand, as well as the most effective way of selling. The functional purpose of the object which may arise as a result of investment is taken into account, and the demand of a particular object in this market. On this basis the pool of potential buyers is determined, to which the advertising campaign is targeted.