Understanding how much your investment property is worth can help you make informed decisions
Property valuations are part of the buying process. Find out about the different valuation types, what’s involved and how to prepare for one.
A valuation is a detailed report of a property’s market value. Your lender will request for a property valuation to confirm your property’s value is sufficient to support your loan.
You need one when you buy a home or refinance for a renovation. You also need one if you want to release equity in your property or decide to sell.
A property valuation acts as a safety net for your lender. It ensures they don’t lend you more than your property’s worth. It can also give you an indication of the value of the asset you own or are about to buy.
Some common methods of valuations include:
Valuers consider a range of factors including:
Online reports and apps can give you a quick idea on what your property is worth. Your Aussie Broker can also provide you with a free property market report.
Another option is an appraisal from a real estate agent. You may need to do this if you’re thinking of selling in the near future and want a price guide to decide whether to sell or hold .
You may need to do a full valuation when you need a new home loan or want to change your existing loan. Your home loan lender may also request a valuation if you’re refinancing your investment loan to release equity.
Book a free appointment with an Aussie Broker today and get access to a free RP Data Property Report.