Apartment Valuations F.A.Q.S

What information do you obtain within the valuation report itself?

  • Terms of reference
  • Locational commentary, attributes, linkages, detrimental factors
  • Relevant date of value
  • Legal description (if certificate of title provided)
  • Apartment area; information of the valuer’s physical on-site measurements
  • Services applicable
  • Planning zoning
  • Environmental Statement
  • Improvements Statement
  • Comparable sales evidence; an extract of the most comparable and fitting sales
  • General comments (if applicable)
  • Any value assessment you require
  • Cost of apartment valuation $330.00 inclusive of GST (conditions apply)

How do you the client, benefit?

Once you have received the apartment valuation, you are an informed person. When you speak to anyone relating to your apartment you will, at that given point of time, be fully aware of the market, its market forces and your apartment’s value. If you are contemplating selling your apartment, you will be in control of the sale and have received independent professional advice, with that entity having no vested interest. An apartment valuation report is a professional assessment of the value of your apartment. We are Melbourne’s best property valuers in relation to apartments.

What’s my property worth?

It is common for the client to ask the valuer this question as soon as the valuer has inspected the subject apartment.

The truth is at that time the valuer doesn’t know what the apartment is worth. The inspection is the first step of many that the valuer must go through before a value of the apartment is determined.

What does the valuer consider in determining the value of my property?

The valuer measures the apartment from the internal walls to determine square the metre size of the apartment. The internal measurement is standard throughout the industry for apartments and does not include the balcony nor terrace areas. The valuer takes notes concerning the features of your apartment such as room layout, number of bedrooms, baths, etc. The valuer also makes a determination of the general condition, appeal and functional layout of your apartment. All of these items are taken into consideration in the valuation report. Additionally, the valuer has consideration to the marketability, local economy aspect, market dynamics , common areas, carparks, and storage, as well as the market segment.

How long does a valuation take?

The physical inspection of a typical property takes up to fifteen minutes. Sometimes an inspection can take longer if the apartment is difficult to measure or has some unique features that require additional investigation by the valuer.

After the initial on site inspection of your apartment, the valuer inspects comparable sales of similar type apartment developments and specific apartments within the immediate vicinity. The purpose of this inspection is to search for other properties that are similar to the property being valued that have sold within the last three to six month period. When the field work is completed, the valuer completes the report and rationale and reports to you under the terms of reference.

Does the valuer do a whole building inspection?

No. The valuer is not a whole house inspector. An Engineer, Architect, Electrician, Plumber, etc. are deemed to have expertise in their areas. The valuer walks through the apartment to get an idea of the general condition and accommodation. A valuation is not a guarantee of condition. You are encouraged to seek the advice of experts if you have any questions about the structural aspects.

How much does a valuation cost?

The cost of a valuation can vary according to property type, location and size, as well as the purpose of the valuation. Valuation fees are usually tax deductible if the property is held for investment purposes. The cost of this professional advice is relatively small compared to your investment and the potential savings and peace of mind it can provide you. A typical apartment valuation fee of $330 inclusive of GST is applicable.

If the valuer is not from my area, how can they properly value my property?

Certainly a valuer should be familiar with specific areas or neighbourhood to value your apartment. The misconception is that only someone who lives “close by” would know the area. At Apartment Valuations, we value throughout Melbourne and our valuers have completed thousands of apartment valuations. We are the number one Melbourne property valuers in apartments.

Is a valuation different from a council rates notice?

Yes. A rating valuation is prepared for the purpose of assessing rates and land tax of a property. It does not usually involve an internal inspection and is prepared at a particular date. The relevant date of valuation on your rates notice can vary depending upon where you live. This valuation cycle can be 12 months and up to 4 years in some cities.

An independent valuation and real estate agent’s appraisal are documents that are created for different purposes. An agent uses his expert local market knowledge to arrive at a selling figure which the property should be placed on the market. A valuation is carried out by a property valuer for a variety of clients including banks, solicitors and individual property owners for a wide range of purposes.

I am buying an apartment, do I need a valuation?

A valuation before you buy an apartment can provide you with an independent opinion of its value. This can help you negotiate the right price and save you money.

I am selling my apartment , do I need a valuation?

Before you sell your property, a valuation can provide you with an independent assessment of current value before placing your apartment on the market. This figure may be different from what a real estate agent says your property is worth. The valuation report is a document that can be used as a negotiation instrument to ensure you do not sell an apartment for less than it is actually worth. A valuer can also provide you with tips on how to add value to your property.