Property Valuations: Maximizing Your Property’s Worth
Refinancing your mortgage to get a better deal or to use the equity in your property means arranging a valuation of your property to determine its value. Getting a lower-than-expected valuation can affect the interest rate your lender offers and the amount of equity you can tap into. Here’s how to maximize your property’s valuation.
Clean things up
Presentation is probably the most important thing to take care of when you have an upcoming valuation. This is your opportunity to present the best first impression of your property, starting with the exterior. Along with tidying up the garden and front yard, repaint the outside of your home if necessary or ensure at the very least that the exterior walls and windows are clean.
Some simple things you could do include:
- Mowing the lawns and tidying the garden.
- Vacuuming and cleaning the property to a presentable standard.
- Washing and packing away any dishes.
- Putting clothes away and ensuring beds are made.
- Sanitizing bathrooms.
Make it easy
Provide the valuer with information like recent property sales in your area, your municipal rates notice, building plans, or an estimate of value. If you’ve done some research and have the data to back up your figures, the property valuer is far more likely to respond positively when doing your valuation.
- Recent property sales in your immediate area may not yet be available on the central property databases so it’s worth sharing these with the valuer.
- A copy of the building plans can help speed things up and ensure accuracy when the valuer calculates the living spaces, outdoor areas, and car parking.
- An estimate of value based on research of comparable property sales in your area saves the valuer time when comparing properties of a similar value.
- Prepare a list of hard-to-see features that add value to your property so the valuer can consider these.
- Highlight any recent or significant renovations conducted since purchasing the property along with the approximate cost of those renovations.
- Some valuers may also request your rates notice, so it doesn’t hurt to have these readily available.
Be realistic
A valuer’s job is to assess fair market value based on the market and sales of properties similar to yours. A certified valuer will be able to determine the value of your property, so there’s no point in exaggerating. Be honest with yourself and with the valuer.
If you are considering refinancing your home – either for a better deal or to tap into your property’s equity – talk to our mortgage broker first.