Partial Interest Valuation
Anything less than full ownership -- called "fee simple"
in deeds and conveyances -- by a single person or entity is a "partial
interest." Here at Fog City Appraisal, we appraise partial interests all the
time. It's a specialty and discipline that takes unique expertise and training,
and you can be assured we're well qualified to deliver an opinion of value on a
partial interest.
When might you need a partial interest valuation?
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T.I.C.s - In the Bay Area TIC
ownership, or tenancy-in-common, is widespread and a major market in and of
itself. San Francisco is the heart
of TIC activity, and we have all the experience you need to establish TIC
percentages either before your TIC formation, or evaluating after TIC ownership
is in place.
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DIVORCE/PARTNERSHIPS - In divorce or dissolusionment of a partnership
proceedings, you might need to fairly value one party's interest in real
property. Sometimes, particularly in partnership situations, it's not simply a
matter of appraising the entire property and dividing by the number of owners.
A fractional share of property may sell at a discount to reflect lack of
control, costs of and barriers to sale. You need the judgment of a professional
appraiser.
Because there are so many ways the "bundle" of rights to property can be divvied up, when you order an appraisal you might need a partial interest valuation and not even know it. You should be sure the company you hire is qualified to perform partial interest valuations. Here at Fog City Appraisal, we are.