Appraisals and Valuations - What Is The Difference?

Many people get confused on what the difference is between appraisals and valuations and often use the words interchangeably; they are very similar however they are some important differences.

Appraisals

An appraisal is when an estate agent comes to look at your property and gives you an estimate of what the property's value would be in the current market. They look at factors such as where the property's location is and what other similar properties have sold for recently in the local area. Normally the agent will give the owner some ideas on how the property could achieve a higher value or help it sell more quickly, for example if certain cosmetic or other 'improvements' were made. An appraisal is usually a free service.

Valuations

ValuationWhen it comes to a valuation, many people who want an estate agent to carry out an appraisal ask for a 'valuation' but in the true sense a valuation is something carried out by either a RICS qualified surveyor instructed by the purchaser to report on such things as whether the property is structurally sound, or in the case of a mortgage valuation the valuer is appointed by the lender once an offer has been accepted on a property and its main purpose is to determine whether the property is worth what the purchaser has offered. After a valuation, the client (the purchaser) will receive a written report detailing the value of the property and a fee will be charged for this service.

Related Articles

Subsidence: Not Always The Horror It's Cracked Up To Be

What is a probate valuation

Different Kinds Of Home Surveys - What Should You Be Getting?

Published on 15 April 2016

Source Trinity Sales Wakefield

Content © 2017 Trinity Sales    Website Built by Estates IT Limited   Powered by PCHomes Estate Agent Software    +Site Map    Privacy