Collateral valuation transactions, which are extremely important in the real estate world, cover all kinds of real estate valuation processes that are subject to real estate collateral mortgages requested from agencies through insurance companies on behalf of the personal and commercial loan security they provide both for banks and other financial institutions.
In the tourism sector, in the examination of industrial facilities, in the field of health, education, housing and workplace valuations or in the logistics sector, valuation is often required for collateral purposes. As a result of the economic fluctuations experienced in general terms, companies and organizations apply for real estate collateral in order to avoid some disruptions in commercial life and at the same time to guarantee the receivables of the institutions.
As long as the valuation conditions for collateral purposes are reported in detail, the provision for real estates taken as collateral and given as collateral can be split in installments in the source debt section. Thus, thanks to this system, the flow of corporate life continues uninterruptedly in the commercial world it takes place.
What Should Be Taken Into Consideration While Making Valuation For Collateral Purposes?
It is compulsory to issue real estate appraisal reports to real estate appraisal firms authorized by the CMB or BRSA in the process of securing real estate and personal and commercial credits granted by banks and other financial institutions, which are the counterparties of sales made on credit, other than the buyer and seller.
These reports, as well as the determination of the value of the real estates under current market conditions, also examine the legal and current compliance of the real estates to be purchased as collateral, that is, their eligibility to guarantee.
These examinations basically cover whether the real estates (land - land, building, etc.) are built in accordance with the zoning laws and regulations, and if there is a risky building statement for the building, as a result of this declaration, it includes the determination of whether the real estate can be demolished and rebuilt.
During this research, the necessary permits, documents and legal requirements to be fulfilled in accordance with the relevant legislation, parts built in accordance with the zoning legislation (license and its annexes, occupancy permit, project, etc.) Properties such as gross usage area and quality obtained from the license and its annexes are taken as basis.
And also; In the event that the real estate considered to be purchased has the title deed with flat easement / condominium, the location of the main property in the building shown in the floor plans and the same floor and location as the apartment subject to sale, the harmony of the dimensions in the project with the apartment applied on site, The absence of added parts and the compatibility of the carrier columns shown in the project are checked.
According to the nature of the real estate, the depreciation criteria of the commercial properties, the determination of whether the agricultural lands are usable, whether the criteria such as irrigation, road and transportation in agricultural land are sufficient, the extent of their usage possibilities, the conditions and restrictions that are open to construction and the right to build the features that can be exemplified with many other items such as determining the absence of the disease are investigated.
The sections described so far include the technical issues identified during on-site observation and examination of the subject property.
At the next stage about the collateral real estates which authorized institution (Ministry of Environment and Urbanization, Municipality, Land Registry and Cadastre Directorate etc.) the building license of the relevant documents from the necessary zoning archive file from that institution, occupancy permit (occupancy certificate), the detailed examination of projects such as reports, records, documents containing criminal elements is provided. If there are negative factors such as demolition decision, cancellation, settlement cancellation or license cancellation in these documents; How the real estate will reflect on the sales subject is compared with its current situation.
In the conclusion part of the report, the legal or current value of the real estate to be purchased under current market conditions is stated.
According to the report prepared, the bank financial institution officials, for whom the loan application was made, decide that there is no harm in approving the loan.