WHAT IS A BOV IN COMMERCIAL REAL ESTATE?
A BOV, or “broker opinion of value,” is a professional assessment of the market value of a commercial real estate property. It’s typically prepared by a licensed real estate broker or agent who has expertise in the local market and the property type in question.
A BOV is usually requested by a property owner or investor who wants to get a better understanding of the current value of their property or a property they are considering buying. It can also be useful for lenders, who may use a BOV to help determine the collateral value of a property when considering a loan.
To prepare a BOV, a broker will review relevant market data, such as recent sales of similar properties in the area, and consider factors that could impact the value of the property, such as its location, size, age, condition, and any unique features or amenities. They will then provide an estimated range of value for the property based on this analysis.
While a BOV is not a formal appraisal, it can be a helpful tool for property owners and investors to get a general sense of the value of their property and make informed decisions about whether to buy, sell, or hold onto a property. So, if you’re curious about the value of your commercial real estate property, consider requesting a BOV from a licensed broker or agent. They’ll be happy to provide you with a professional assessment and help you make informed decisions about your property.
To learn more about BOVs, please visit this page of our website: https://focusedcre.com/bovs/.