Planning to buy, sell or rent the property, you will go to the property valuer or appraiser and ask to find the right value of the property and then you take the further decision based on that property value.
But what if that value is not right, What when you came to know that your property worth more than the estimated value.
We know, your heart will break down. Because with the low valuation figure you can’t sell your property at the high and right price which leads to serious loss. And lender’s won’t provide a mortgage for more than the property value. Instead of bearing the heavy losses cause of incorrect valuation, you can smartly challenge the property valuer or appraiser and get the right value of the property.
These smart ways will help you to find the mistakes might be done by the valuer or appraiser while performing the property valuation –
1. Don’t forget comparables are influential – If you will go to the valuer or appraiser and say you are completely wrong then this won’t work. You have to find the comparables and then check the comps used by the valuer. find the ‘comps’ ie comparable that is not used by the property valuer. Remember comparables are the properties similar to the subject property and located in the nearby area of the subject property. This is the sales comparison method which is widely used, as in the real estate market the comparables are the most influencing factors.
Though comps help to find the value of the property but make sure the comps have sold within 90 days not more than that. Also, check the market condition while comparables were sold out and when the subject property is analysed.
2. Highlight the amendments you have made – Few days before only you have changed the electric wiring, renovated the kitchen and replaced the old air conditioner with the new upgraded one, updated the decor and roof, constructed the new extra bathroom.
But all these or any of these might not have noticed by the property valuer. Bring a spotlight on all these. Check valuer has added these features in the report or not. There is a big chance that valuer missed any of these to add which can increase the property value.
3. Study market condition and supply-demand status – What decides your property value. The answer will be property and factors associated with it. But the locality where the property is, what is the supply-demand ratio in that area and market condition also brings a big impact on the property’s value. So check these factors are rightly considered by the property valuer. Otherwise missing or ignoring any of these factors can significantly change the property’s value.
4. Go for the second option – If the bank and lender valuer has evaluated the property, it might be possible they worked biasedly. So better to hire an individual property valuer who works unbiasedly and find the right value. Thus you can challenge the previous valuation figures.
Looking for accurate property valuation services. Contact us our valuers are happy to assist you.