Individuals need to know the value of their property for
several reasons. One reason is if your house burns down and your house cost
£1,000,000 and you only insured it for £10,000 then you will only get the
£10,000 back. Also you will need to be able to afford the house to buy it. And
taking a loan from the bank and not being able to pay the money back.
We sell our
homes for several reasons, to relocate, make money because you could have ran
out of money and need it to pay something of, divorce because you have to share
the money with the ex-wife, retire to get the extra money, upsize, downsize,
unemployment to also get extra money etc….
will provide protection against most risks to a property, such as a fire, theft and some weather damage. This
includes specialized forms of insurance
such as fire insurance, flood insurance, earthquake insurance, home insurance, or boiler insurance.
in your property is if your property is worth £400,000 and you owe £200,000 you
have a collateral of £300,000.
If you have
a divorce then you will have to split everything they have including the house and
the money of the house if you would sell it. The property is the most valuable
thing in a divorce.
These are some
reasons to get a commercial property valuation. Valuation for company account
purposes, Secured Loans, End of lease repairs – occupiers beware, Stamp Duty, Capital
Gains Tax. Council tax is also a big problem with a property.
Task 2 – P5
This is all to do
with comparing the property with another. They compare the condition, the
location, the market, the improvement, the neighbourhood and the property age.
All of these factors can judge if the house is millions or the house is
The valuations this means market appraisals, this can either
be directed by the Branch Manager or the Marketing Advisor. They are differences
between the market appraisal and the valuation. Valuations are led
by surveyors to qualify as a building surveyor. In order to become
this you will have to complete a degree course accredited by the Royal
Institution of Chartered Surveyors (RICS), this is followed by a period of
professional development training. To be a valuer for Countrywide you need to
pass two Agency Pro internal exams, pass an induction course and satisfactorily
pass the in-house training to qualify as a valuer in estate agency you need no
VS Market Appraisal
They are differences
between a property survey and an Estate Agency valuation.
An estate agency
valuation is an asking price on the open market and to reach the best possible price
for the customer/client. This can be opinion based and can have a big differences
between different Estate Agents depending on their opinion, knowledge,
experience, research or agenda. These valuations should be free if the customer/client
is thinking of selling it. These could be confirmed in writing but contain very
little detail about the property.
The survey for a
property is directed by a qualified Surveyor. There is usually a charge of
(£200-£800) for this as the customer receives a written report commenting on
most aspects of the property including condition, location, issues affecting
value etc. There is also a summary commenting on the market value.
Any buyer, seller or
owner of a property can request a survey for their property but it is 50/50 on whether
you will get this. But this is usually done for a client through their mortgage
lender, or it could be arranged privately if you are a cash in hand buyer. Any client
wishing to buy a property with a mortgage will need to have a survey done. If
you are a cash in hand buyer you do not need to have a survey done, though most
solicitors will recommend that you do.
Task 3 – P6
Professionals involved in property valuation are the Marketing
Adviser (Estate Agent) and the Building Surveyor. (RICS)
To be a Marketing Adviser you will have to be a valuer for an
Estate Agent you will have to pass two Agency Pro internal exams, pass an
induction course and satisfactorily pass the in-house training. To qualify as a
valuer in estate agency you need no qualifications.
Estate Agent An
estate agency valuation is an asking price on the open market and this is
designed to achieve the highest and the best price for the customer/client.
This is opinional and can have a big variation between the different Estate
Agents based on their knowledge, opinion, research, experience or agenda. These
valuations are mostly free if the customer/client is thinking of selling. These
can be confirmed in writing but contain very little detail regarding the
The market advisors
key traits is that they need to be punctual, they need to be well dressed and
presentable, they need to have strong communicational skills, they have to be
good at talking so they can be skilled in sales, they need to be very
organised, they need to be motivated to work and need to have good IT skills.
The Market Advisor
To report to a branch
manager, to be able to give an accurate property price, to maintain high levels
of service, effectively cross-sell group services, to complete paperwork to satisfactory
standard and to be able to list 6 or more properties per week. Also the Market
advisors are very trustworthy when it comes down to credit/debit card information
and personal detail. The property survey will be accessed by a qualified surveyor,
this will cost you about £200 – £800 for the surveyor. This will come with a
written report informing the client about the property feedback like the
location, condition and the aspect.
Role of the building surveyor is Property Valuation, Dilapidation
Surveys, Production of Survey Reports, Condition Surveys, Production of
Schedules of Maintenance and Repair and Completion of Measured Surveys.
Interaction with others is the Client, Building Owner, Architect,
Quantity Surveyor, Structural Engineer, Clerk of Works, Main Contractor and
Subcontractors, Local Authorities, Health and Safety Executive.