Don’t Confuse The Difference Between Property Appraisal Vs Valuation
Now, a lot of the time these two things get confused, so we are here to define the difference between property appraisal vs valuation. A valuation is an official estimate by a licensed valuer of what your property should be worth in the current market based on block values, quality of structure, size of structure etc and is used by banks and other institutions to underpin the value when securing finance, or estimating values for property settlements.
It is based on statistical data and involves no emotion. It does not mean that when you sell you have to get this price, and it does not mean that you cannot get more than this price – it is merely a figure that the bank is comfortable with.
On the other hand, an appraisal is an opinion, and should be an exercise of looking at every facet of the property, knowing your buying public intimately to be able to judge the reaction to it. It is also about offering the right advice as to what steps should be taken to attain the absolute top price for the property. This includes what is worth spending money on and what is not, when preparing the home for sale. The extent of knowledge that the agent has in knowing these things is what sets them apart from other agents – beware the agent who says “do nothing…the buyers can see past that”.
So, the quality of the advice you get, the assistance that your agent offers you in carrying out their advice and their track record in your area are three key features of what you should look for in your agent if you want a great result.