CMA Property frequently asked questions .
CMA Property are frequently asked questions about what we do and how we go about our work.
1. What is a valuer? and what does a valuer do?
A valuer is a tertiary educated professional, a valuer will have completed two years practical on the job training. Finally a valuer has sate before a panel of his peers and completed a lengthy oral examination in order to be deemed qualified to practice and prepare property valuations. A valuer on a day to day basis is involved in establishing the value of all types of land, property and themany interests held in real estate. Valuation is a process of observation and measurement of the characteristics of property, including its location and economic activity, this data is collected, evaluated and analysed to in order to derive an accurate and objective estimate of the value of the real estate asset. That is, the most likely price a property would fetch if placed for sale in the prevailingmarket conditions.
2. Why are valuers known by many different names?
A property valuer from time to time may be called a real estate valuer, a sworn valuer, an independent valuer, a registered valuer, a qualified valuer a house valuer, a valuer of property, all of these names are correct. We are often called an evaluator or valuator the valuation process is often called an evaluation, however these terms are incorrect.
As our industry has changed over the years, once upon a time valuers needed to be registered in order to be a registered valuer with deregulation this has now changed. A sworn valuer is someone who is prepared to swear under oath in a courtroom about the value of a property, a qualified valuer is someone who carries the required tertiary qualifications and experience to undertake the role of a valuer. All valuers that are qualified are required to become associate members of the Australian Property Institute (API). Members of the institute are then Certified Practising Valuers (CPV) and work to a defined set of standards and must practice ethically in accordance with the rules of the institute. All valuers at CMA are Associate members of the API and are Certified Practising Valuers.
3. Why get a valuation?
For most of us our home represents our investment in real estate and it is quite often your most valuable asset; therefore it is prudent to obtain an independent property valuation on your home or other real estate assets before making a property decisions. At CMA we operate in the Australian real estate market every day.
There will often be many occasions that you will require valuations of your real estate assets.
- A family law lawer may advise a property valuation is appropriate in the event of a family law/matrimonial separation. At CMA we are specialist in family law valuations
- Your accountant or tax agent may often require you to source a valuation report for in order to determine a Capital Gains Tax or GST implications on a property investment.
- Valuations are also required for stamp duty purposes where a real estate asset is to be transferred between family members and/or related parties.
- The value of all real estate assets held within a self managed super fund (SMSF) will need to be updated yearly for reporting purposes and valuations will be required.
- Finally when applying for a temporary or permanent residency visa, you may require a valuation of real property/real estate assets in order to satisfy the requirements of Immigration and Citizenship.
At CMA we can tailor property our advice or property valuations to suit your needs. Using our specialist knowledge allows you to make an informed decision regarding your real estate assets, whether it be a home valuation, a commercial valuation or investment property valuation.
4. What are the benefits of using a professional valuer instead of a local agent or one of those online valuations offered on the internet?
Seeking a professional opinion and advice from a CPV qualified property in short can save you time and most importantly money.
Yes, your local agent will be happy to provide you with a "free appraisal" of your property, however the appraisal is made in an attempt to win your business in order sell your home and therefore their opinion is often provided in the most favourable light and not done on an independent at arm's length basis.
The internet provides us as consumers with great access to information and there aremany sites now devoted to providing you with a free valuation of your home. Not wanting to sound too cynical, we would urge our customers to beware of these instant "Valuation" sites, they are predominantly driven by the manipulation of "statistical data" and will never be as accurate as a property valuation conducted by a qualified and experienced valuer. Quite often within a couple of days of making your enquiry you will be contacted by a local Real Estate Agent offering a Free Market Appraisal as your information has been "on-sold".
5. What can you expect from a valuer?
- Total Independence
- Property Experience
- Local Knowledge
- A professional approach
- Good Advice
6. What does a valuer take into account in completing a property valuation?
At CMA our valuers, take into consideration the construction, fixtures and fittings, and the condition of the improvements upon your property. At CMA we take into consideration the floor area and we take the time all significant improvements. Ancillary improvements are also important including fencing, landscaping, swimming pools and car parking facilities. Our valuers also takes into consideration the shape and access of the underlying land as well as it's topography.
The location of the property, current sales of similar properties in surrounding area aswell the state of the Australian economy and the real estate market also impact upon
7. What is covered in a property valuation?
- The instructing parties and purpose of the valuation
- Land information
- Details of the site and structural improvements
- Location details
- Comparable sales and prevailing market conditions
- General comments on the property
- A valuation assessment
8. Do we need access to the property to complete a valuation?
In order to provide a formal valuation report to you, we are required to and would always prefer to inspect the property both internally and externally to ensure that we can adequately document all of the attributes that the a property has to offer.
However we realise this is not always possible on all occasions, accordingly in the event that an internal inspection of the property is impractical then we can tailor alternative advice to meet your requirements.
9. How long does a valuation inspection take?
Typically an inspection of a property takes little more than 30 minutes, however from time to time a property maybe larger or require additional time for our valuers to inspect. Our valuers will advise the expected duration of the inspection at the time of making the appointment.
10. Should my house sell for your valuation figure?
Market value is defined as "the estimated amount for which a property should exchange on the date of valuation between a willing buyer and willing seller in an armslength transaction after proper marketing wherein the parties had each acted knowledgeably, prudently, and without compulsion". If we are valuing your property to assess the current market value then the simple answer is, yes.
11. Property valuations are always conservative?
Contrary to most people's belief not all valuers are grey haired 60 year olds with a gruff persona and a pessimistic view on the world, similarly valuations are not conservative. At CMA we are a littlemore pragmatic, while everyone is entitled to have their own opinion on property value that does not necessarily make them right. The reason why you should engage the services of
an independent Certified Practising Valuer is to seek a qualified and well researched opinion based upon facts that will be documented in a written report by a professional person who is prepared to back their findings before a court.
12. How much do valuations cost?
As each property is different so too is each valuation. The cost to produce valuations, whether it be a house valuation, the valuation of commercial real estate will differ depending upon the amount of time and work involved. As common sense would suggest, normally the more work involved the higher the fee.
At CMA Property we take the time to ask questions, assess your needs and tailor the most appropriate response and we do this in the most cost effective way.
Residential valuations start from $385 (incl GST). Please review our list of charges for a guide to our fees.Source: www.cmavaluers.com.au