Sydney Bank/Mortgage Property Valuation
For a mortgage security valuation in Sydney, having an independent property valuation company, like Valuations NSW, conduct a mortgage valuation ensures the property value is objective and true. Bank valuations from any of Australia’s big four banks are conducted by in-house or contracted valuers. Ultimately, the valuers that work for a bank/lender are operating to serve their own interests. As independent valuers, we can put the needs of our clients first.
A mortgage security valuation provides the assurance the bank needs to approve your loan. Before having your loan approved, your bank/lender will seek out a mortgage valuation report to ensure that the loan can be safely deposited. A valuation calculates the potential selling price of your property. If the loan defaults, the bank is entitled to sell the property to pay off the mortgage.
A bank property valuation is usually conservative because they want to know that their investment is secure. Their bank valuation assures they can recover the money lent to you if the property needs to be sold quickly. If the bank valuation is low, then they may refuse to lend you the amount you’re requesting for the property leaving you with three options:
- Being unable to proceed with the property purchase
- Having to come up with the additional funds so that you can purchase the property
- Needing to choose a different lender who will lend you a higher portion of the property value (LVR)
To avoid this situation, you can get an independent mortgage property valuation before you make an offer and seek finance. An independent mortgage valuation is an unbiased assessment of your property. It is based on extensive research of the property itself and the local area and recent comparable sales. This may not be the case with a bank valuation of a property.
There are other situations where a property may be priced higher than you think it is worth. A mortgage security valuation can give you leverage when negotiating a lower price which could save you considerable money on LMI (Lenders Mortgage Insurance), especially if an independent mortgage security valuation results in a lower LVR (Loan to Value Ratio).
Considerations for a Bank/Mortgage Security Property Valuation in Sydney
When conducting mortgage valuations, a valuer will consider an extensive number of factors. These factors influence your property’s value and thus impact the amount a bank or financial institution is willing to loan. The following are considered when conducting a mortgage security property valuation:
- The age of the property and its condition
- The architecture for example Victorian, Tudor, Cottage, Colonial, Contemporary etc.
- The size of the land
- The location such as proximity to public transport, shops, schools, amenities etc.
- The number of bedrooms and bathrooms
- The size of the kitchen
- Renovation or development potential
- The layout of the property
- The property’s accessibility and streetscape
- Supply and demand
- Energy efficiency
- The amount of storage space
- The suburb
- Parking space
This is not a complete list of the many factors considered in property valuations. In fact, there are over 200 potential considerations. This same information can be found in many different valuation reports. If you have had a recent pre-sale/pre-purchase valuation or even an internal accounting valuation, they may be considered sufficient proof of your property’s value for your mortgage security. Of course, depending on the bank or lender you opt for, you may still be required to have a bank property valuation.
Why choose us for your Bank/Mortgage Security Property Valuation?
Valuations NSW only employs property valuers that are local to the area they complete valuation reports. This means they have access to current and historical property data. Therefore, they can produce a more accurate mortgage security valuation.
Our team of valuers can value all types of residential property including:
- Stand-alone houses
- Terrace houses
- Semi-detached
- Duplexes
- Townhouses
- Apartments
- Undeveloped Land
Our property valuation reports are completed by government-registered property valuers who hold an Australian Property Institute (API) membership. Each valuer at Valuations NSW is a Certified Practising Valuer (CPV), with many also holding AVI and RICS qualifications, and strictly adheres to the API’s Code of Professional Practice, Code of Ethics, and Rules of Conduct. They regularly attend professional development training through the API, ensuring that every report is prepared with exceptional professionalism, accuracy, and compliance with the latest industry standards.
Valuations NSW Valuers will inspect your property within 48 hours of you making an enquiry and will then send your report within 3-5 business days of completing the inspection. We have built a strong reputation within the valuation industry and our valuations are accepted by all banks and lenders.
To organise one of our expert mortgage valuers to come and inspect your property call our friendly team on (02) 8599 9863 or fill out our online form.