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The Benefits of Pre-sale & Pre-purchase Valuations

By John Carter

We offer sworn property valuation services on all our reports

The vast real estate landscape in Perth is full of opportunity. For sellers and buyers of real estate, valuations are an essential tool.

Whether you’re considering purchasing or selling property, the decision should never be rushed. Any decision regarding real estate has important financial consequences. As such, buyers and sellers must do everything they can to make an informed decision based on market data.

The real estate market is an ever-evolving and complex one. Without a thorough understanding of the market’s movement, you may end up making a decision you later regret. Pre-sale and pre-purchase valuations in Perth have helped individuals and organisations throughout make informed sale and purchase decisions.

What is a pre-sale/pre-purchase valuation report?

A pre-sale/pre-purchase report is a tried and tested method of finding the market value of a subject property. The report itself is prepared by an accredited valuer, otherwise known as a Certified Practising Valuer (CPV).

Valuers are trained real estate experts. They have a deep understanding of the market and know exactly how to determine the market value of a property.

Valuations are prepared from an independent and unbiased point of view. Whenever you’re getting a pre-sale or pre-purchase valuation, you can rest easy knowing the final report is not subject to any internal bias or outside influence.

With valuations, you essentially get all the information you need to make a sensible decision going forward.

The pre-sale/pre-purchase report is also prepared in line with regulatory and legislative requirements. It serves as proof of market value in the eyes of the law.

What are the main advantages of pre-sale and pre-purchase valuations?

There are numerous advantages to pre-sale/pre-purchase valuation reports in Perth. A few of the main benefits are:

Well-informed decision-making

With an independent valuation report, all parties get a clear sense of market value and therefore can avoid overspending or underselling. The critical insight offered in reports is vital for making an informed decision in alignment with budget constraints and long-term goals.

Outlining existing issues

As valuations include a comprehensive physical inspection of the property, they are useful for discovering hidden problems and faults. This allows buyers and sellers to better understand the current condition, and perhaps take steps to address issues and boost value.

Swifter negotiations

With an independent valuation report, parties have a much clearer sense of what a reasonable selling price is. The process is thus generally much faster, as buyers can use reports to justify the set price and sellers can use reports to counter unreasonable prices.

Financing and mortgage applications

As financial lenders tend to rely on property valuations for calculating loan terms, pre-purchase and pre-sale reports can support mortgage applications and streamline the process to get the loan approved.

How to get a pre-purchase or pre-sale valuation?

Purchasing a valuation service is a relatively straightforward process. There are plenty of ways to find the service you need. Reviewing the following steps can help you out:

Determine the reason for the valuation

In this case, you already know you’re looking for a pre-sale or pre-purchase valuation. As such, you can find a firm with valuation services suitable for your needs.

Choose an accredited professional

Only certified professional valuers can prepare valuation reports. Make sure the firm you’re considering employs accredited valuers who are registered with the Australian Property Institute (API).

Reach out to the firm

If you found a valuation service provider with qualified team members, it’s time to reach out. You can do so via the website, phone or email. From there you can discuss your needs and offer all of the key information.

Schedule an inspection

Choose a date that suits you and provide the valuer with a time he can inspect. You’ll want to be present during the valuation so make sure you have enough time in the day to be there.

How much do pre-sale and pre-purchase valuations cost?

The cost of valuation reports varies. There is no one set cost that applies to all reports. The factors that affect the cost of valuations are:

  • The type of property
  • The size of the property
  • The experience of the valuer
  • The location of the property
  • The purpose and scope of the valuation

A pre-sale or pre-purchase valuation for a commercial property is likelier to cost more than a valuation for a residential property.

Summary

In Perth, the real estate market is always moving. For both buyers and sellers, valuation reports are a key tool. A pre-sale or pre-purchase valuation is a legally accepted report outlining the market value of real estate.

A valuation report gives buyers and sellers the insight needed to make an informed real estate decision. In general, these reports prevent sellers from overpaying and buyers from underselling.

Pre-sale/Pre-purchase valuation reports are prepared by Certified Practising Valuers (CPV). These are qualified professionals trained in the art of finding market value.

Valuation reports lead to swifter negotiations and well-informed decisions based on market conditions and objective data. All you have to do is reach out to a trusted firm with qualified professionals adept at finding market value.

For more information on the benefits of pre-sale and pre-purchase valuations, don’t hesitate to reach out and speak to one of our team members today.