5 Essential Elements Affecting Valuation Reports
Seeing the valuation report after asking a surveyor to come over and check your property can either be positively surprising or frustrating. You will be surprised if your property has been valued higher than you thought. On the other hand, you will feel frustrated if you think that the property was not properly assessed. Therefore, it helps if you understand the elements that affect the valuation report.
Most of the time, the property will be assessed based mainly on the observations of the assessor. This is pretty subjective. However, there are certain things that they have to observe to determine the property’s worth. In this case, make the property look great. Clean up or do some changes to improve the entire place. This could make the observation more positive and increase your property’s worth.
It also helps if you have the best possible location. If you are situated in a key area where there are stores, hospitals and schools nearby, expect a higher valuation. On the other hand, if your property is remote and difficult to access without key facilities nearby, it will most likely get a lower value. It is frustrating, but you also have to put yourself in the shoes of prospective buyers, who might not want to spend much on a property that has no easy access to key facilities.
The assessor will check if there are any defects or areas of the property that need repair. You should inspect everything yourself and have it fixed before the assessor arrives. You’ll have to spend more money just to get the repairs done, but at least you can be assured of a higher price tag for your property. If you think the return on investment is high, just fix the problems now.
The place will also be evaluated based on how safe it is. If it is next to an unsafe neighbourhood, expect its value to go down. If it is prone to floods, the same thing will happen. Again, it is frustrating, but you need to consider the amount people buying the place will be prepared to spend under such circumstances.
Your assessor will also make recommendations to encourage buyers to invest in the property. The recommendations depend on the result of the assessment. Don’t expect an overwhelming recommendation if you know the property does not necessarily deserve such huge praise. The point is for the assessor to be honest in making their assessment, and this includes making any recommendations.
You can check a sample homebuyers report online so you know what the final report looks like. You should also start checking out the best surveyors now.