Valuation of Gold Jewellery Industrial Building

Abstract

Abstract: The valuation is the process of determining the current value of an asset such as residential, commercial, industrial, or agricultural land is known as appraisal. The value is determined by the Estimate price for as well as the potential rent or income. The main goal is to get people acquainted with the general field practice of real estate valuation. The purpose of the project is to determine the market value of properties for bank financing in Tamil Nadu. It determines the present value of properties and it is focused on the valuation of an industrial Building. The values obtained by three different methods of valuation and identifying the most appropriate one for the property under consideration. The methods of valuation that are used in the process are: Land and Building method, Rental method and Composite rate method. Depreciation is also given due importance in all the methods. In land and building method, the value of land and the value of the building are estimated independently to obtain the present value of the property. Rental method involved capitalizing the net annual rental income using a suitable rate of interest. Composite rate method is also employed to determine the present value based on the prevailing market rates. Breakup of composite rate for the building under valuation is calculated based on the breakup of composite rate of the building under comparison