Collateral Valuation Services

Types Offered:

• Ag land with improvements
• Ag land without improvements

Report Includes:

• Detailed narrative on the real estate being valued
• Market information
• Description of the data analyzed
• Valuation techniques employed
• Reasoning to support the value conclusion

Potential Uses:

• Transactions that do not require appraisal
• Determining the validity of existing value
• Problem loan administration
• Liquidation and workout scenarios

2023 Service Fees:

• Cropland less than 320 acres: $450
• Cropland more than 320 acres: $750
• Pasture less than 320 acres: $450
• Pasture more than 320 acres: $750
• Mixed Crop/Pasture less than 320 acres: $600
• Mixed Crop/Pasture more than 320 acres: $900
• Improvements +$500 to the base price

The real estate must be located in the state of North Dakota. The only exception for location will be for collateral located in East Grand Forks, Moorhead, and Breckenridge.

Types Offered:

• Owner-occupied
• Non-owner occupied

Report Includes:

• Commercial evaluation owner-occupied: Evidence of site inspection, sales comparison, and cost approaches to value
• Commercial evaluation non-owner occupied: Evidence of site inspection, sales comparison, cost approach and income approach

Potential Uses:

• Transactions that do not require an appraisal
• Determine the validity of existing value
• Problem loan administration
• Liquidation and workout scenarios
• “As is” and “As complete” valued

2023 Service Fees:

• Commercial evaluation owner-occupied: $1,300 which includes site visit, sales comparison and cost approaches to value
• Commercial evaluation non-owner occupied: $1,800 which includes site visit, sales comparison, cost approach and income approach

Types Offered:

• Farm Machinery
• Livestock
• Commercial & Industrial Equipment
• Trucks & Trailers
• Aircraft

Report Includes:

• Specifics on the property
• Comparable property sales
• Description of the data analyzed
• Valuation techniques employed
• Reasoning to support the value conclusion

Potential Uses:

• Providing a value for loan origination and/or renewal
• Determining the validity of existing value
• Problem loan administration
• Liquidation and workout scenarios

2023 Service Fees:

• 1-3 items: $300
• 4-10 items: $400
• 11-20 items: $800
• 21-30 items: $1,200
• >30 items: $1,800

The property can be located in any state, it does not have to be located in North Dakota.

Types Offered:

• Commercial Real Estate appraisal reviews
• Ag Real Estate appraisal reviews

Report Includes:

• Verification that the valuation methods and assumptions are clearly detailed and well-supported
• Confirmation that appropriate data was gathered and analyzed logically
• Assertion that the value conclusions are consistent with the information in the appraisal

Potential Uses:

• Ensure compliance with technical rules
  and regulations
• Determine reasonableness of an appraisal
• Measure credibility of an appraisal
• Reinforce confidence in an appraisal

2023 Service Fees:

• Commercial Review: $250
• Agricultural Review: $150

Types Offered:

• Commercial Real Estate
• Ag Real Estate

Report Includes:

• Analysis of an appraisal greater than one-year old using tests to identify change, not value, from time of origination
• Identifies change in physical condition such as new construction, renovation, deterioration or damage
• Identifies changes in economic characteristics such as occupancy, Net Operating Income, market rents and rates of return

Potential Uses:

• Loan renewal
• Subsequent transactions
• Loan monitoring and asset quality
• Special asset management and problem loan administration

2023 Service Fees:

• $500 which includes analysis of current market conditions and recommendation as to the validity of prior appraisal metrics. Validations do not provide an opinion of value.

If you have any questions or want to request additional information, contact us at 701.328.5852 or bndvaluation@nd.gov.

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