In the recent times, the real estate sector is experiencing a wide growth, which denotes your property has accumulated a better ...
In the recent times, the real
estate sector is experiencing a wide growth, which denotes your property has
accumulated a better value. So, it is important to know the present value of
the property you own, as it will help you while making important financial
decisions in the future. Valuation of a property is very important during the
purchase made in real estate industry, as it helps both the potential sellers
as well as the buyers know the actual worth of the property that they are going
to invest and to stay assured that their investment will not get affected in
any way.
Why Should You Opt For Property Valuation?
Even if you are not selling your
property, it is important to get it evaluated properly. The current valuation
of your property will help in knowing the real worth of the asset that you own.
However, approaching a professional property valuer to evaluate property will be helpful for a lot of reasons. You might
have to consider having a property valuation for the following conditions that are explained below.
1. Renovation Plans
If you are planning to renovate
your property like adding a backyard, enhance home interiors or building a
swimming pool, then it is important to have independent property valuations. The process of property renovation can
be an expensive one, and so, it is
imperative to have better control over the budget to avoid spending more on
your renovation project. Therefore, it is easier to know the property’s value
accurately by approaching a renowned property valuer.
2. Purchase Of A New Property
If you are keen to invest in real
estate and wish to purchase another property, then your residential home will
be considered as the collateral for the second property purchase. Usually,
financial institutions like banks will offer up to 80% of the loan amount from
the purchase value of the property intended for the investment when you are
utilizing the primary residence to provide collateral support. Evaluating the property would help you learn
the amount of equity your primary residence holds and will help you know the
actual loan amount you will be receiving while purchasing the second one.
3. Refinance Loan
Based on your preference of the
loan products or lenders, you can go for the property valuation with the help
of a third party valuer or through an experienced property valuer after considering
your lender’s preferences. Which
can help you save more money, then the property valuation will help in
realizing the Loan To Value ratio. You can proceed to change the loan
products with less amount of interest if the LTV rate is 80% or more.
