I can't tell you how much to charge however I think that you will be better able to determine what to charge after you consider how much time the appraisal will take you to do and what other costs will be.
Acutally, I'm a newbie appraiser and a friend posed the question to me cause he's looking into buying the 320 unit complex. I think someone may have quoted him $1500 for the appraisal. I was wondering if that's fair?
If an appraiser is going to charge $1,500 to appraise a 320 unit apartment complex that appraiser is either a fool or not prepared to do a proper report. A report on an apartment property of this scale requires a thorough knowledge of the market and the ability to analyse the financial performance of the city and to project income and expense data.
Any appraiser with this ability and a proven professional record will charge a lot more than $1,500. Maybe you should add another zero.
I agree. $1500 is low for a unit that size. You're going to have to analyze numerous sales and rentals of other units of that size, and it's going to take a lot of research for a project of this size. In addition, you're looking at a narrative report. I can assure you that it will take you into the weeks to complete this project. Figure out your probable number of days, cost to acquire data, and time to write and bid accordingly. It's better not to get one of these than lose a bundle being tied up on a project like this while other stuff goes to the wayside.
$1500!!?? What's he gonna do, put it on the URAR?
That deal would be at least a good 2-3 month job for me and my partner. Lots and lots of research, but would have to keep up with our good residential clients too.
I would think if you have to ask what is a reasonable fee you are not qualified to do that type of appraisal That said, in my market $5,000 to $7,000 would be in the ball park. Lots of work, lots of liability too. Last sale I saw with that number of units was an older complex and it sold for around 12 mil.
I agree, sounds like you new - you may not be qualified for the assignment at this particular time. The fee of $1,500 doesn't allow for reasonable time period for the assignment if completed in a professional manner.