The value of your home changes more often than you may think. While normally this change wouldn’t affect your daily life, it could very well have a huge impact on your finances and other major aspects of homeownership.
If you wanted to know how much your house is worth, then you should consider looking into hiring a Sydney property valuer. Their service is the best way to accurately find out your home’s worth. Not only will they determine the value of your home, but they will also provide a comprehensive report.
A valuation report may be used for legal circumstances and other formal situations, but it can be quite expensive for a simple estimation of home value.
What are the alternatives to having a valuation?
For situations where you are in the early stages of planning to buy, sell, renovate, invest etc. and only want a general estimate of your home’s value, there are two alternatives to a sworn property valuation.
Market Appraisals
Real estate agents often promote their free-market appraisal service. It is a way for the agent to get their foot in the door so that you hire them to sell your property. While their motivations to provide this service is self-serving, it is still a valid way to form a general idea of how much your house could sell for in the current market.
They base their appraisal mostly on personal experience and general market knowledge. As such, it is not an accurate assessment. If you decide to go the route of having a market appraisal, it is recommended to have 3 from separate agencies. You can then calculate the average for a slightly more precise value.
Online Valuations
With a simple search, you will find plenty of online valuation calculators that are free to use. You only need to type in your address, and you will be presented with a general range of value. These online calculators use automated valuation models (AVMs) to determine value. The AVM and its accuracy depend heavily on its access to previous sales data. Estimates may be out of date or rough estimates based on the sales of nearby properties.
Both market appraisals and online valuations are limited in what they may be used for. Many situations require the accuracy of a property valuation and the legally binding report that is generated as a result.
How to order a house valuation
Getting a house valuation is much the same process as hiring any other professional service. However, there are 5 things you may need to consider doing so that you can get the most out of your house valuation.
1. Do a bit of research:
There is a lot to learn about property valuations which some might find a tad overwhelming. The good news is that a residential valuation isn’t as complicated as other forms of valuations, so basic knowledge of property valuations will do. It is not entirely necessary but understanding the process can help ensure you get the right report for your needs.
In general, there are two ways a valuer could complete a valuation. A house valuer might conduct a desktop valuation, which uses online data only and does not require a valuer to visit your home. A full valuation will include an inspection of your house and will result in a more thorough and precise report. Both forms of house valuations are highly accurate.
2. Find the right valuation company:
There are many property valuers available in Sydney and it’s important to hire the right group for what you need. Many companies will have their specialities or can only offer a limited number of services for only a few valuation purposes. You can look up a company’s website to check on the services that they provide before you make an enquiry.
While you’re online, you could read some online reviews for Sydney house valuers. While this is not always the most accurate representation of the quality of service you will receive, it is a good indication of what you can expect.
3. Ask for a quotation
Now that you have narrowed down your choices for a house valuer in Sydney, it is time to make an enquiry and request a quote. Be prepared to answer a few questions by having the following information ready beforehand:
- The purpose of the valuation:is it for capital gains tax, pre-sale advice, a settlement, or some other purpose? A valuer needs this information to know what is required of the report.
- An estimate of the house’s value:This is where those online calculators can come in handy. Valuers use this detail to get a rough idea of how complex the valuation and inspection may be.
- The full address: Not only does a valuer need this vital piece of information to complete the valuation, but this allows a valuer to consider travel time for your quotation and when scheduling an inspection. For purposes that allow for a desktop valuation, then the address is needed to confirm that there is adequate data available for a precise valuation.
4. Choose an experienced local valuer:
As with hiring any other kind of professional, experience matters. With years of experience comes a wealth of knowledge and practised efficiency. This means you can expect a better-quality report in less time without losing any detail.
Along with hiring a valuer that is experienced, it is best to go with someone that is local. A house valuer that is local to the area has some added advantages over other property valuers. The first is price. A local valuer will not have to travel as far to conduct the valuation, which means there are minimal travel fees added to the cost of the valuation. The other added benefit is accuracy. A valuer who specialises in local house valuations will know all location-based influences over your house value. This provides a more accurate house valuation report.
5. Prepare your home for valuation
It is not absolutely necessary to clean your home before an inspection, but a bit of a tidy-up can help make things easier on the valuer so that they can make a proper assessment. They will need to access all areas of the home. If you have any pets, then it is recommended that they are contained to a single space, kept on a leash or out of the way for an easier inspection.
If you are planning to sell a property, then it may be better to ensure that any sprucing up and repairs are completed before the valuation, so that the report can serve as a resource for sale negotiations. However, a valuation may also provide advice on the current market if you want to be better informed before starting any renovations.
Conclusion
While a house valuation is the most accurate way to find how much your home is worth, you do have a few alternatives that come at no cost. However, whether these options are viable will depend on why you need to know your house value and if you require a sworn valuation report.
If you want to know more about house valuations or would like to request a quote, please don’t hesitate to get in touch with one of our experts.
