Commercial Broker Opinion of Value (CBOV)
A Broker Opinion of Value (BOV) is an opinion of a property's market value provided by a licensed real estate broker, helping property owners make better informed decisions.
At Friend Commercial Real Estate, our brokers bring extensive local knowledge and industry expertise to every BOV.
It's important to note that a BOV is not an appraisal and we are not appraisers. A BOV is intended only for the purpose of assisting buyers or sellers or prospective buyers or sellers in deciding the listing, offering, or sale price of their property.
What is a Broker's Opinion of Value?
A Broker Opinion of Value (BOV) is an evaluation provided by a licensed real estate broker to estimate the market value of a commercial property.
Key Components of a BOV
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Evaluation of current market conditions and trends.
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Analysis of recent sales of similar properties in the area.
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Assessment of the property's physical condition and any necessary improvements.
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Estimation of potential rental income and return on investment.
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Insights into the specific submarket where the property is located.
Having a licensed real estate agent or broker perform the BOV is crucial as we possess the local market knowledge and professional expertise necessary to provide accurate and relevant valuations. Our insights can significantly impact your real estate decisions and outcomes.
Commercial BOV General Pricing and Terms
Previous packages plus more
On-going market analysis
Regular strategic consultations
Priority turnaround
Cumulative reimbursement credits
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CMA and customized feedback
Enhanced turnaround and reimbursement
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Cost of a BOV for Single Tenant Properties
The cost of a Broker Opinion of Value (BOV) for single tenant properties is generally set at $500.
Multi-Unit Property Pricing
For multi-unit properties, the cost is generally $100 per active tenant, with a minimum charge of $500. An active tenant is defined as a current lease in place. Vacant spaces are not considered active tenants. For instance, if a property has four active tenants, the cost would be $500. If the same property, however, had six active tenants, the cost would be $100 * 6 = $600.
For properties with additional complexities, please contact us for detailed pricing.
Terms and Conditions
Each BOV purchase is limited to one per customer unless additional authorization is provided. The fee for a BOV may be credited back to you if we proceed with a transaction. For example, if you decide to list your property with us and we handle the sale, depending on the circumstances, the initial BOV fee may be deducted from our final commission.
Step-by-Step Outline of How the BOV is Conducted
Initial Consultation
The broker meets with the property owner (or prospective owner) to discuss the objectives and scope of the BOV.
Data Collection
The broker gathers relevant data, including market trends, comparable sales, and property specifics.
Property Inspection
An inspection of the property is conducted to assess its general condition and identify the possibility of improvements.
Market Analysis
The broker analyzes the collected data, focusing on local market conditions and comparable property sales.
Income Potential Evaluation
Potential rental income and return on investment are estimated.
Report Preparation
The broker compiles all findings into a comprehensive BOV report.
Review and Consultation
The broker reviews the BOV report with the property owner, explaining the findings and recommendations.
Required Information and Documents
Income statements
Expense reports
Property details (size, age, condition)
Lease agreements (if applicable)
Recent property tax assessments
Maintenance and repair records
Estimated Timeline for Completion
The process of obtaining a BOV depends, among other things, on the complexity of the property, the property owner’s goals, and the availability of required documents.
Benefits of a Commercial BOV
Friend Commercial Real Estate offers unparalleled opportunities for investors looking to capitalize on the lucrative commercial real estate market in Maryland, DC, and Virginia. Our team identifies high-potential investment properties, leveraging extensive market knowledge and real-time data to ensure you make well-informed decisions.
Advantages of Off-Market Deals for Commercial Real Estate Buyers
A BOV provides property owners and potential buyers with a clear understanding of a property's market value. This can lead to better-informed decisions and strategic planning.
How a BOV Can Assist in Making Informed Real Estate Decisions
Accurate Pricing
Helps in setting a realistic asking price for selling or leasing.
Investment Analysis
Assesses potential return on investment.
Market Positioning
Understands how the property compares to others in the market.
Financial Planning
Aids in refinancing and budgeting for improvements.
Use Cases
Selling: Setting a competitive listing price to attract buyers.
Buying: Ensuring the offer price is aligned with market value.
Leasing: Determining appropriate rental rates based on market conditions.
Refinancing: Supporting the application for refinancing with accurate property valuations.
Example: A property owner could use a BOV to refinance their commercial property in DC, which would allow them to secure a better loan with favorable terms.
Service Areas
Regions Where BOV Service is Available
Friend Commercial Real Estate offers Broker Opinion of Value (BOV) services across Maryland, the District of Columbia, and Virginia (specific terms and conditions apply to each jurisdiction).
Importance of Local Market Knowledge
Understanding the nuances of local markets is crucial for providing accurate property valuations. Our brokers have extensive experience in the DMV area, allowing them to assess properties with a keen eye on regional trends and developments. This localized expertise ensures that our BOVs reflect the true market potential of your commercial property.
Purchase Your BOV Online
To streamline the process of obtaining a Broker Opinion of Value (BOV), we have created a simple online form. Please fill out the following form.
Explore Our Other Commercial Real Estate Services
Discover the comprehensive range of services offered by Friend Commercial Real Estate, designed to meet the diverse needs of our clients in the Maryland, DC, and Virginia areas. Our expert team is ready to assist you with:
Selling Commercial Real Estate
Navigate the market with confidence and uncover properties that align with your unique business or investment goals.
Commercial Leasing
Secure the right space for your business with expert lease negotiations and flexible terms.
Broker Opinion of Value
Receive precise, data-driven property valuations to make informed selling decisions.
Commercial Property Management
Preserve and increase your property’s value with proactive management and maintenance services.
Commercial Real Estate Investments
Identify and capitalize on high-growth investment opportunities tailored to your portfolio.
Financing & Lending
Access a range of competitive lending solutions to meet your commercial real estate needs.
Marketing
Boost your property’s visibility with targeted, strategic marketing campaigns designed to attract serious buyers.
1031 Exchange Consultation
Maximize tax benefits by leveraging seamless, tax-deferred exchanges for property reinvestment.
Business Brokerage
Get expert guidance when buying or selling businesses, ensuring a smooth and profitable transaction.
Visit our commercial real estate services page to explore these services in detail and learn how we can assist you in achieving your real estate goals.
Get in Touch
Ready to take the next step in your commercial real estate journey? Contact Friend Commercial Real Estate today to schedule a consultation with one of our experienced brokers. We are here to provide expert guidance and personalized solutions tailored to your needs.
The information provided herein is a general overview of services related to Friend Real Estate, LLC d/b/a Friend Commercial Real Estate’s ("FCRE") operations within Maryland, D.C., and Virginia. While every effort is made to ensure the accuracy of the information provided, this information may not reflect the latest changes in the commercial real estate market and is subject to change. It is intended solely for informational purposes and should not be considered legal, financial, tax, or real estate investment advice. FCRE collaborates with each client’s designated team of tax and legal professionals, and FCRE does not itself provide tax or legal services. Please consult appropriate professionals before making any real estate investment or financial decision.