What are property valuation services?
Property valuation services are an essential lifeline to a wide range of property owners, buyers and investors. Each one brings a level of expertise that can save you money or generally drive informed purchasing decisions. If you want to make the most out of your investment portfolio or get the right price on a rental property, you need an independent valuation service in Adelaide.
These services span the likes of:
- delivering advice on pre-purchase, pre-sale or rental agreements
- calculating the value of residential, commercial, industrial, rural and retail properties
- supporting legal matters like property settlements or compulsory acquisition
- calculating property taxes like capital gains and stamp duty.
Every valuation service centres around the development of a comprehensive property valuation report. This report is a legally certified document detailing the steps taken to calculate the fair market value of any given property, as well as information on the valuer, client and purpose of the valuation. It also includes all market research and financial analysis going into the final statement.
These reports can differ in content from one service to another. The steps taken for a residential property valuation may be very different to a capital gains tax valuation, for example.
Types of property valuation services
Receiving an accurate statement of market value is critical in managing your assets effectively and guaranteeing a return on investment. That’s why it’s important to know what services are available to you, and that these services extend across both personal and business assets.
A Certified Practising Valuer (CPV) can help you renegotiate your rental contract or deliver rental determinations such as third-party submissions and court work.
Licensed valuers are qualified to analyse your investment portfolio, internal accounting operations or overall financial performance. Since their reports are legally certified, they can assist in matters such as litigation, family law, probate, resumption and others.
If you’re planning a critical investment project, CPVs can analyse the feasibility of said project and help you to steer it in the right direction. Remember that a valuer is specialised not only in traditional property but in industries and markets of all kinds.
Other valuation services include:
- assisting with strategic planning, whether personal or business-related
- establishing fair, market-related pricing for property sales or purchases
- serving as an expert witness in various legal affairs
- supporting tax objections or calculating the likes of rating and land tax.
Working with a qualified property valuation service is a guarantee of support in practically every major area of selling or buying property.
Residential property valuation services
Standard home valuations are among the most popular valuation services available.
It’s a critical step in both the buying and selling process for anyone who wants to ensure they get a fair price based on true market value.
CPVs calculate the market value of residential properties through a combination of extensive market research and analysis, as well as proven calculations. They use comprehensive market databases to access the details of recent similar sales in your area.
Through this approach, they compare your property against others using factors like its condition, age, location, dimensions and access to amenities. They also assess the area itself, looking at attributes such as environmental risk, work opportunities and economic growth.
These valuations are also common for mortgage and insurance purposes. Often this involves tallying all of the costs involved in replacing the property if needed.
A residential property valuation can be performed to uncover either current or past market value.
Business valuation services
Business valuation requires the knowledge and expertise of a Chartered Accountant (CA) or Chartered Practising Accountant (CPA). This exhaustive process uses a set of scientific methods to calculate the saleable value of any kind of business entity.
Business valuations can be conducted for the likes of:
- medical practices
- IT companies
- restaurants, cafes and chains
- hotels and motels
- accounting and law firms.
This involves a comprehensive analysis of the business’ operations, finances and overall performance. A valuer looks at factors such as your accounting books and financial records, the state of your industry, market and economic conditions and, finally, the worth of your assets.
That also includes intangible assets. In other words, things like location, intellectual property and reputation.
Your valuer will also need to take a look at:
- bank statements and debts
- annual turnover and profit and loss statements
- all physical assets of the company
- critical legal documents.
With all of the above, a qualified valuer can begin to gain an intimate understanding of a business’s standing, as well as its position in the greater market and potential future earnings.
Summary
If you want to own property or already do, there are many ways in which you can benefit from a certified property valuation service.
An independent valuation can ensure your insurance covers you appropriately or that you receive that home loan you need.
It’s your first point of contact when buying or selling a property to ensure you get a price that reflects the property’s true market value. The same can be said for business owners or anyone dealing in rural, retail, commercial or industrial property.
If you want to know more about valuation services, reach out to one of our licensed valuers today and receive a free quote on your first valuation.