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Sworn Valuations: How a Pre-Purchase Valuation Can Assist You

By John Carter

As a property’s worth is subject to the ever-changing market, it can be difficult to know when the right time to sell or buy is. Negotiations can also often stall over disagreements regarding the price.  A quick-fire solution to this is to get a sworn property valuation from a registered firm.

So, what is a sworn valuation? Also known as an independent and registered property valuation, it is the best way to get a reliable and accurate assessment of how much your property is worth.  These registered valuation services are legally-recognised, taking out the need for debate regarding the price.

A sworn valuation is created in accordance with all of the relevant regulatory and legislative standards. The carefully drafted reports are accepted by Australian Courts, taxation officers, insurance agents, and all sorts of governmental officials.

By adhering to internationally recognised valuation standards, a consistent standard of quality and reliability is maintained across each report. For those in need, there are plenty of reputable valuation services in Perth.

What are Sworn Valuers?

The professionals performing these rigid valuation services are known as sworn valuers. They are highly qualified property experts who have undergone extensive training to refine their skill sets.

Also known as Certified Practising Valuers, these professionals are registered with the Australian Property Institute (API), which represents the interests of thousands of property professionals in the country.

A sworn valuer’s priority is to provide the most precise assessment of a property’s worth. A careful approach and a combination of reliable methodologies are used to assign an exact value to the subject property.

The best valuers usually come with loads of experience. As these services are wide-ranging and often complicated, having a history in the industry is a good sign. Like with most professions, the longer you’ve been in the game, the more refined your skillset is likely to be.

How do sworn valuations work?

The purpose of a sworn valuation, such as a Family Law property valuation, is to assign a monetary value to the subject property following existing market conditions.

In cases where a residential valuation is being performed, a sworn valuer is likely to follow a direct comparison approach. This method involves comparing the property to similar properties within the area that have been sold.

A sworn property valuer will then carefully inspect the home to make up for any notable differences between the properties. The registered property expert will consider several different factors when preparing the report, including:

Location: The area in which the property resides plays a direct role in its value. A suburb’s reputation, the proximity to nearby facilities, crime and employment rates, the noise level of the surrounding residents, and more all have an impact on a property’s worth.

Size and space: Larger properties tend to cost more than smaller ones. An important aspect of the size comes in the available floor and storage space. A property that has enough room for families is likely to fetch a higher price.

Interest rates: The affordability of buying a home has a direct impact on market conditions. Low-interest rates lead to high demand, and high demand leads to a higher average price across the board.

Street appeal: You should never underestimate the value of your house’s visual appeal. How your house looks from the street view is what attracts potential investors and home seekers. A well-maintained and modern-looking household is far more likely to attract a buyer than a deteriorating building.

Features and amenities: In this day and age, entertainment is key. A property with a pool area, a home theatre system, a barbeque and bar section, or anything of the sort is likely to see its value boosted.

How to choose a sworn valuation firm

For those not used to this world, finding a reliable valuation firm can seem like a daunting task. As nobody wants to spend money on bad service, many find themselves confused regarding which way to go.

A few steps to take when searching for a sworn valuation firm are as follows:

Do the research:

As a first step, make sure you know what it is you’re looking for. Once you know what type of valuation service you need, you can look at what services different valuation firms offer and make note of those offering the particular type that you need.

Check reviews:

Looking at reviews from past clients can give you a good idea of the type of service being delivered. If you notice more than a few negative reviews, you should be concerned about a potentially unreliable service.

Ask about experience and qualifications:

Be sure to ask about the valuers who would take charge of your report. Remember, only those registered with the API can perform sworn valuations. More experienced experts are also more likely to perform more precise reports.

Request a quote:

Registered valuation firms usually often quote custom-made towards a client’s specific needs. Comparing costs can give you a good idea of what the average price is across valuation firms. Always consider value for money when making this decision, as the cheaper option is not always the best one.

Summary

The best way to find out your property’s worth is to get a sworn valuation, meaning an independent and registered valuation service. It helps both buyers and sellers make well-informed decisions regarding when to purchase or sell property.

The registered and independent service is performed by experienced valuers who are well-versed in preparing reliable valuation reports. A number of factors are considered when performing the valuation to ensure the highest level of precision possible.

By following internationally recognised standards and adhering to all regulatory guidelines, these property experts can prepare legally recognised documents. A wide number of registered valuation firms exist in Perth.

For more information on sworn property valuations, feel free to contact one of our qualified experts today.