What Are Property Valuation Services?
If you own property or are looking to own property, it’s important that you understand exactly what makes a house valuable. As the day might come when you decide to sell, knowing what adds value to your home can be of great assistance when trying to find a buyer.
Most people looking to buy real estate will request a property valuation from an independent and registered firm as the report will be entirely unbiased and determine a fair market value. An official property valuation is performed by a certified valuer with the relevant authority. Property valuation services in the Northern Territory are wide-ranging and beneficial for many.
Certified Valuers are registered with the Australian Property Institute (API) and adhere to the guidelines set out by the Royal Institution of Chartered Surveyors. As most experts in this regard have years of experience, they are well-suited to prepare reports in line with the relevant regulatory and legislative requirements.
So how can you make sure that the valuation you receive represents your home at its maximum value? By looking at the different factors that Certified Property Valuers consider, we can identify what can be done to improve the market value of your house.
What can I do to improve the value of my home?
When a property valuer prepares a valuation report, the first step is to perform a wide-ranging and careful inspection of the house.
The highly qualified expert will consider several factors that directly influence the value of the subject property. A valuation report will be valid for six months from the date of inspection.
As the last thing you want is the report to assign a value to your house that is lower than you were hoping for, there are a few things you can do before a residential valuation that may increase the value of your home.
- Renovate & Upgrade: One way to instantly improve the value of the house is to renovate by upgrading existing rooms or adding features and amenities. The renovations and the renovation-potential of a property will affect its worth.
- Maximise Space: The usable space of a house is one of the most important features. Smaller and more compact properties fetch a lower price than a property that has substantial floor space and storage space.
- Regular Maintenance: Deterioration or lack of maintenance will have a significantly damaging effect on a property. A well-maintained property will naturally be worth more, so be sure to tend to anything in need of repair before the valuation.
- Modernise the Kitchen & Bathroom: According to most property experts, these are the two most important rooms in the house. Often referred to as the “heart and lungs” of real estate, these two rooms play a key role in how much your house is worth.
- The Interior Design: The visual appeal to the inside of your house is crucial. The placement of the furniture, the counter tops, and the appeal of the rooms will all play a role. Hiring an interior designer can help you to get the best out of your home and ultimately improve its value.
- Street Appeal: The front of your house is a vital part of attracting potential buyers. If the street view of your house is unpleasant and unwelcoming, it will be noted in the valuation report and could affect the market worth.
- Energy Efficiency: In today’s society, the importance of energy efficiency should not be understated. Features such as solar power and energy-efficient built-in lighting and appliances can all add value to a home.
External factors that affect a property’s worth
While there may be some things you can do to improve your property’s value, some factors that affect its worth will be entirely out of your hands. Some of the external factors that a certified valuer takes into account are:
- Market Conditions: The state of the property market will play a key role in the value of your house. The valuer will look at what similar properties in the area are selling for to gain clarity on the current state of the market.
- Location: As you might have heard before, the location of a property is one of the most important of all factors. Proximity to schools, hospitals, shopping centres, and other facilities will affect a property’s value.
- Suburbs Reputation: If a suburb is known for criminal activity, noise, or high unemployment rates, it will decrease the value of the property. Suburbs known for their safety and strong community relationships will be worth a higher price.
- Interest Rates: The interest rates on loans affect the affordability and therefore the demand for property. As demand for property increases, the price of property rises.
- Economic Infrastructure: The state of the economy is affected by unemployment, wages, the strength of the currency, and more. All of these factors will affect the demand for properties in the area, interest rates and local property values.
Summary
Property valuation is an important part of the process when buying or selling property, as it provides a clear and defined market valuation based on various internal and external factors.
There are a few things you can do to enhance the value of the property before the valuation process, such as upgrading features, making sure everything is presentable, and maximising the space.However, some factors that have a direct influence on the worth of a property will be out of your control.
As market conditions and the economy are subject to change, it is important to make sure you have done everything possible to boost your property’s worth. Residential valuations are the most commonly requested service, but property valuations can also be for commercial, industrial, and rural property services.
For more information on property valuation services in NT, feel free to speak to one of our qualified property specialists.
