What is a ‘Down Valuation’?
Whilst not an official valuation term, a ‘down valuation’ is commonly used to describe a situation where a surveyor’s opinion of Market Value is lower than the price agreed between a buyer and seller, or lower than the figure one or both parties were expecting.
However, a surveyor does not ‘down value’ a property.
At Navah Consulting, our RICS Registered Valuers provide an independent opinion of Market Value in accordance with the RICS Valuation – Global Standards (Red Book). Our role is to assess what a property is worth at the valuation date, based on the available market evidence.
An agreed purchase price is an important consideration, but it does not automatically represent Market Value. Buyers may be prepared to pay more because of competition, personal circumstances or the unique appeal of a property. Whilst these are entirely valid reasons to proceed, they do not necessarily reflect the wider market.
Every valuation is supported by recent comparable sales and considers factors such as the property’s size, condition, location, accommodation and overall appeal. Professional judgement is then applied to determine where the property sits within the current market.
If our opinion of Market Value differs from the agreed purchase price, it does not mean the property has been ‘down valued’. It simply means that, based on the available evidence, the market supports a different figure.
We appreciate that this can have an impact on your plans, particularly where a mortgage or property chain is involved. That’s why we take the time to explain our reasoning clearly, providing independent, evidence-based valuations that give our clients the confidence to make informed decisions.
About Navah Consulting Ltd
Navah Consulting is a firm of Chartered Building Surveyors and Valuers that specialises in surveying services throughout Hertfordshire, Essex, Cambridgeshire, London, and Suffolk.
We offer a full range of surveys and valuations, including the RICS Home Survey Level 2 (Home Buyer Report) and RICS Home Survey Level 3 (Building Survey). We’re also happy to advise on RICS Valuation, Reinstatement Cost Assessments and Defect Analysis for a range of purposes.
Our Contract Administration services help ensure your project is managed effectively from start to finish.
Navah Consulting aims to provide all services in a straightforward, efficient and client-focused manner. We understand the importance of providing reports and services in a concise, jargon-free format, in a quick time frame. Check out our reviews page here.
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