Why is Property Valuation so talked about?

Many people dream of buying a house, but whether one should invest in a property is an essential financial decision because its value depends on the market.

In this blog, we learn about property valuation, factors to consider before making a purchase, and what to look out for.

Importance of Property Valuation

1. It helps the buyers understand the actual property value.

2. Sellers can decide the price they put on the property.

3. It makes it easier for investors to invest.

4. Getting a home loan is highly dependent on this factor.

What affects a Property Value?

• The property location needs to be accessible to good schools, city markets, offices and public transport. Without this connectivity, the property value decreases drastically.

• The property should hold a freehold title.

• One might find a new property at a better deal, but an old property also holds value if it is well-maintained.

• The layout of a flat should be functional for buyers to invest in a particular property.

• Many people might not prefer to live in a building with zero amenities when multiple projects offer a swimming pool, gym, clubhouse, jogging track, etc.

• If the area surrounding the property is poorly maintained, then chances are that property value will be affected.

What are the challenges that determine the Property Valuation?

The market pricing of a property is never stable. Buyers need to keep checking the prices, talk to multiple dealers and compare data before they invest. Checking the legitimacy is also crucial to avoid getting scammed.

How can one calculate Property Value?

• The property value depends on its size, amenities, location, area, etc. If similar properties sell at a number, the buyer would expect the value of that particular property to be in the same ballpark, as well.

• The government can set a rate for the area while considering legal and taxation purposes. This property valuation can differ from the market price.

• Upgrading the kitchen, repairing leaks, and repainting the house add value. The less the buyer spends on refurbishing the space, the more he is willing to pay for the same.

What are the factors considered before buying a property?

• Budget

• Builders previous work and reputation in the market

• Maintenance Fee

• Resale Value

• Potential projects surrounding the vicinity

What should buyers look out for?

• Consulting a professional gives you clarity and confidence before buying a property.

• Maintenance, repairs and taxes highly impact property valuation.

• Property valuation can help you churn out a better deal.

Conclusion

Property valuation helps people understand the market prices and lets buyers an informed decision. If someone is looking to invest, researching more about the make property value, builders reputation, and surrounding areas is vital.

Disclaimer

The content of this blog is based on information available to the public for general use, and any references/sources if mentioned. While we take care to refer to reliable sources as far as possible, we do not claim any responsibility for the accuracy of the given information whatsoever. The article is to be used for general informational purposes only. Please note that it neither constitutes legal advice nor does it intend to. If any individual(s) take/s any decision based on the information in this article without verifying the genuineness of the facts, we expressly disown/disclaim any potential liability that may result due to the same. We encourage readers to get guidance separately pertaining to any specific information given herein.