Loading
 
Are you a buyer, seller or an agent?
BuyerSeller Agent

Blog articles - Selling a house

COVID-19: Click here for an update on buying and selling during restrictions
What is a property valuation and why have one done

What is a property valuation and why have one done?

Posted 19 May 2020

Know The Baseline Because It's All About The Numbers

When selling your home either privately or with an agency, the most vital step is understanding the value. There are three common ways to do this, a professional property valuation, a market appraisal, or to use a free online property estimate tool. 

  • A property valuation is a detailed report and will provide you with an understanding of the market value of your home before selling.  
  • A market appraisal is a less formal estimate of your property carried out by a local real estate agent. 
  • Online property estimate tools use the same market appraisal tools estate agents use and are usually linked directly back via referrals to real estate agencies.

Property Valuations  - explained.

A valuation differs from a real estate agent appraisal as they determine a more accurate and recognised value of any given property. They are undertaken by a professionally qualified valuer who has specific education and training. Valuers have a systematic approach and take in to account all factors affecting the property value. 

A valuer is paid to provide an unbiased, accurate valuation report, based on property data, comparable sales in your area and an understanding of current market conditions.

What's included in a professional property valuation?

  1. Comprehensive property description, including the number of bedrooms, bathroom, house and land size
  2. Risk ratings, for example, fire, environmental and market risks.
  3. The property's overall condition 
  4. Local zoning requirements
  5. Recent and comparable sales in the area
  6. Any remaining issues of relevant uncovered in the valuation inspection

By using a qualified and experienced valuer, you are guaranteeing the figure quoted is accurate and reliable. They are also vital tools banks and lending bodies use in determining loan approvals and can also be upon for legal purposes.
Importantly, valuers are not emotionally connected.  It is of no consequence to them whether the property is worth $300,000 or $1Million. They are employed to give an unbiased, accurate view on what a property is worth. 

Why Next Address prefers valuations over market appraisal

Next Address knows all too well, that setting too high a price negatively impacts the result. The founder of Next Address Julie O'Donohue has seen people make this mistake all too often. As Julie said recently  "Buyers in 2020 are savvy, sophisticated and informed.  They understand the value of properties on the market as they are out there continually comparing." 

So it is so important to pop your ego in your back pocket, listen to the experts and set a realistic, informed price so you can sell your own home as quickly as possible.

Recent scenario

A vendors choose not to follow the professional valuation and listed their home for significantly more than the professional valuation. In the first three weeks, they had strong interests with over 30 inspections but no offers.  4 months later it is still on the market, but at the price recommended by the valuer. 

Unfortunately, what happens in these situations is the property becomes 'stale' and buyers think there is something wrong with the home and are reluctant to inspect. Don't let this be you.

Remember too, most of us buy and sell in the same market. So if your house valuation is lower than you anticipated, the property you will probably buy will have dropped in value as well.

Greville Pabst Property and the WBP Group

Next Address uses Greville Pabst Property and the team at WBP Group, one of Australia's leading valuation companies to undertake all our property valuations. They are usually completed with 2/4 days of a request.  

Greville Pabst has been a recognised leader in the property valuation industry as both Chairman of WBP Group, one of Australia's largest valuation institutions and as a Property Advocate and Judge on The Block (Channel 9)

Greville says "Before we proceed with any real estate transactions, we ensure that we know how much a property is worth to gauge how far we can really push towards your success".

As Greville says "A real estate agent may present you with appraisal and estimate value of your asset, but a certified property valuation will give you reliance on the truth of how much to buy or sell."

Knowledge is power. If you have decided to sell, ensure you have all the information you need to get the result you want.

Independence not emotion

We all form attachments to our homes, and this can cloud our judgement on true value. Independent property valuations are impartial.  By having an independent assessment, you can step into the selling space with confidence that the price quoted is as close to the market value as possible.

Written by Julie O'Donohue and Greville Pabst
CEO Next Address and Chairman WBP Group


 

 

General | Selling Tips
Finding Inspiration At The Park

Finding Inspiration At The Park

Posted 03 August 2018
Buying a house and selling a house made easy.How did Next Address begin? I regularly walk my dog Tilly, mostly in the later afternoons, after a session in front of the com...
General | Buying Tips | Selling Tips | FAQ's, Links and Resources
How to turn buying and selling a house on its head

How to turn buying and selling a house on its head!

Posted 22 December 2017
What do you need to turn a concept upside and on its head- a revolt into a wonderful new system? An algorithm of course! But what the heck is it? According to the all powerfu...
General | Buying Tips | Selling Tips
10 questions to ask an estate agent before handing over the keys

10 questions to ask an estate agent before handing over the keys

Posted 15 May 2020
Ask these questions, follow these rules, and you will hopefully choose the right estate agent. Every month forty thousand Australian's google 'sell my home' sell my house online' or 'sell...
General | Selling Tips
How cycling changed my perspective on selling a house

How cycling changed my perspective on selling a house

Posted 10 November 2016
'Ride a bike once you know how to do it' is the saying. It's a bit like that with selling a house.  Written by Paula LawrenceCyclist, Mother & Next Address Team M...
General | Selling Tips
How to make a whopping extra 20K when selling your home which you can then use to indulge in a dream

How to make a whopping extra $20K when selling your home which you can then use to indulge in a dream!

Posted 19 September 2016
We believe by being prepared, taking great photographs, using the right marketing and being in control you will achieve a great result when you sell your home yourself, as a for sale by owner.  ...
General | Selling Tips
How to maximise your wonderful home and its selling appeal leaving the dog on the bed could be one of them

How to maximise your wonderful home and its selling appeal: leaving the dog on the bed could be one of them!

Posted 19 September 2016
There are a number of different ways to sell a house, check out the choices and pick the one which suits you. For sale by owner, private house sales, or traditional; consider the...
General | Selling Tips | FAQ's, Links and Resources
Real estate myths exposed  the smart way to really sell your house

Real estate myths exposed & the smart way to really sell your house.

Posted 04 July 2016
Real Estate Myths exposed We all love a good fairytale or an urban myth, but when it comes to selling our most important asset, our home, we don't want myths. We want o...
General | Selling Tips
It is just like Tinder but for real estate

It is just like 'Tinder' but for real estate

Posted 16 June 2016
The idea of an Uber for real estate has been around for awhile. This is what we think! At Next Address, we have watched those stories with interest and believe we have the real Uber for real esta...
General | Buying Tips | Selling Tips
Do your homework before giving the house keys to an agent

Do your homework before giving the house keys to an agent

Posted 20 January 2019
This is one of your significant life decisions- let's get it right. In one hour you will hand over the keys to your home to me. Twice a week, I will bring a group of total stran...
General | Selling Tips