As quantity surveyors and property experts at Quantum QS, we understand the financial intricacies of property. While a market valuation focuses on sale price, we also help clients grasp the full picture, including aspects like construction costs, depreciation, and insurance replacement value, which are vital for informed decision-making.
This guide will walk you through the essentials of property valuation in Australia.
What is Property Valuation?
A property valuation is a formal assessment of a property's market value conducted by a Certified Practising Valuer (CPV). Unlike a real estate agent's appraisal (which is an estimate based on recent sales, often provided free to gain business), a formal valuation is a legally recognised document used for various purposes, including:
Securing Finance: Lenders require valuations to determine your Loan-to-Value Ratio (LVR) for mortgages or refinancing.
Buying/Selling: Provides an independent guide for price negotiations.
Taxation: Required for Capital Gains Tax, Stamp Duty, or GST calculations (e.g., on property developments).
Financial Reporting & Legal Matters: Used in family law settlements, estate planning, or company financial reporting.
Insurance: Determining adequate insurance replacement cost (a service Quantum QS offers).
For more details contact:
1300 300 325