When you receive a property valuation report, you may have some lingering questions. Here are 10 important questions to consider asking your valuer and the reasons for asking:
1. What valuation approaches did you use?
It’s helpful to understand whether the sales comparison, cost, or income approaches were utilised to value your property. This provides insight into how the final estimate was determined.
2. How did you select the comparable properties?
Learning more about the specific comparable sales used and why they were chosen allows you to assess the relevance of the data underlying the valuation.
3. What adjustments did you make to the comparable sales prices?
Understanding the adjustments applied to the sales prices of comparable properties in order to estimate the value of your home can highlight issues to explore.
4. How did you determine the condition rating for my property?
Since the assessed condition affects valuation, clarifying the criteria for the assigned rating provides perspective on this factor.
5. What does your inspection report say about my property?
Reviewing the valuer’s comments regarding important features, renovations, deficiencies etc. gives insights you may not observe as the owner.
6. What were the square footage measurements you used?
If the measurements differ significantly from your own, it could skew the analysis, so verifying this input is key.
7. What were the final value conclusions by approach?
Seeing the detailed value conclusions for the sales comparison, cost, and income approaches aids in evaluating the valuation methodically.
8. How did you reconcile the approaches to reach the final opinion of value?
Understanding how the valuer weighed the results of each approach provides rationale for the final value estimate.
9. Are there any improvements I could make to increase my home’s value?
The valuer may be able to recommend renovations, repairs, or staging options to positively impact the property’s value.
10. May I provide any additional information about my home for you to consider?
This gives you an opportunity to offer supplemental details about your property that could refine the valuation.
Asking thoughtful questions demonstrates your keen interest in the process used to value your largest asset. And the answers help ensure your property is appraised accurately and fairly.