What is an Independent Property Valuation?
Any prospective property owner needs to prepare themselves for a changing market. The law of supply and demand and the overall conditions of the economy can take an investment from promising to certain failure and vice versa. These changes can happen faster than one might think.
Independent property valuers in Hobart are your best friends in shielding yourself and your property against the market’s many ups and downs. They receive singular training that sets them apart from the appraisal services offered by banks and real estate agents
Only a Certified Practising Valuer (CPV) can:
- accurately compare your asset against the market
- guarantee an impartial valuation report
- and ensure your valuation meets all the relevant legislation
More on that soon. To best prepare for your next valuation, you’ll need to know a little more about how they work. The easiest way to do this is to dive into any category of valuation, the costs involved and the professionals who compile your report.
Who Performs an Independent Valuation of Property?
Certified valuers are the most experienced and uniquely qualified professionals in the property business. Their access to exclusive market databases and the rigorous training provided by the Australian Property Institute (API) sets them apart from the crowd.
Each one is backed by years of experience analysing property and the market at large. Only this level of expertise can be relied on to ensure your valuation report is an accurate statement of any property’s value.
You may be wondering: why not go with a real estate agent? They are highly knowledgeable and experienced but are limited to the realm of buying and selling property. It takes a licensed valuer to cover you for the likes of:
- property settlement
- capital gains tax
- family law
- and rental review assessment valuation
More so, certified valuers’ payment isn’t tied to the outcome of your report. Unlike real estate agents, valuers don’t earn commissions off sales and rentals. Their API training, as well as the regulations they’re held to prepare them to deliver a completely objective report. Your service, whether current or retrospective, is guaranteed to accurately derive your property’s value.
Finally, a CPV’s training is never done. They continuously pursue further education provided by the API to ensure they’re prepared for a changing market.
How Much Does an Independent Property Valuation Cost?
Ultimately, this is dependent on the scope and scale of the service. A valuation can vary highly in detail and the requirements it covers you for. The overall complexity of the asset type in question is likely to affect the cost as well. For example, a full commercial valuation may cost more than a kerbside home valuation, where no interior inspection is conducted.
Be wary of valuation services offering cheap reports. These services may be lacking the proper certification or be done without the proper market comparisons that only certified professionals can perform.
What you’re paying for is the peace of mind that your current or retrospective valuation is accurate and admissible to the courts if required. It guarantees your service is aligned with the correct legislation. One should treat the valuation service they select with the same careful consideration they would their next investment.
A Look at Residential Property Valuation
Residential property valuations are among the more commonly sought-after services. Most of the time, people pursue residential valuation in preparation for buying or selling a home. Buyers don’t want to pay any more than they should, and potential investors want to gauge what an asset’s worth is before making any huge decisions.
Factors your valuer will review when assessing a residential property include:
- any zoning restrictions applicable
- signs of economic growth or development
- the law of supply and demand
- interest rates
- and the reputation, as well as the market performance of your suburb
Furthermore, some reasons why residential properties are regularly valuated, include:
- estate or retirement planning
- litigation, taxation, and insurance
- pre-purchase or pre-sale matters
- and property settlement negotiations, among others
The tactics and techniques behind your valuation may change depending on the type of property or your reason for seeking out a valuation. Regardless, your valuer is well-suited to make these decisions.
CPVs will carry out your report based on either the current date or a chosen past date. Current valuations reflect your property’s value currently and are recognised for 90 days. A retrospective valuation can be performed for any given point in time. This is an excellent way to clearly describe the changing value of your property over time.
A Closing Word on Property Valuation
You should by now have a better understanding of the broader world of property valuation. Though we’ve zeroed in on residential property to illustrate the mechanisms of the process, remember that valuations can also be carried out on:
- industrial property
- rural property
- commercial property
- and retail property
There’s a service to cater to your every request.
Always ensure you employ the services of a certified valuer, registered by the API. This will guarantee you a professional service where no stone is left unturned. Your valuation report, if done by a CPV, is an objective calculation of value.
Only they can ensure your valuation report is ready for the courts, as well as address all of your taxation needs. In matters of settlements, family law or rental review, a CPV is your go-to every time.
To learn how a property valuation can help you, or to receive a free quote, reach out to one of our licensed valuers today.
