If you plan on selling your house soon, you need to know how much to list it for.
And even if you don’t want to sell, knowing its worth can be interesting. It can show you how much profit you’ve made or how much you can rent it out for.
Either way, you will need a house valuation, and there are several ways to get one (including ways to get one without selling).
Read on to find out more.
How to get a house valuation
1. Use an estate agent
The most common way to get a house valued is using an estate agent.
They this for free because they hope to sell your property. They will then collect a commission from the sale later when the house is sold.
Some estate agents will be reluctant to value your house if you have no intention of selling.
You might indicate that you could be a potential customer in the future.
2. Use a RICS-qualified surveyor
Paying for a RICS-qualified surveyor is another popular method.
This costs money, unlike an estate agent, but often results in a better valuation.
The surveyor is non-biased and will be more objective about the property’s true value.
They will not exaggerate the figure as they have nothing to gain from doing so.
3. Use an online estate agent
Online estate agents will value your house from remote locations. They will use online data on selling prices in your area for similar properties.
They’ll also ask for details about your:
- Number of bedrooms
- Number of bathrooms
- Square footage
And more.
4. Use a cash buying company
Cash-buying companies will also value your house.
Expect it to be below the market rate because they are quoting what they would pay.
However, cash buyers bring advantages to sellers, too. For example, they can sell your house faster than other channels.
They also buy homes with any defects, such as:
- Sitting tenants
- A broken roof
- A short lease
Or more.
How much does a house valuation cost?
The cost of a house valuation varies depending on who is doing it.
For example, estate agents and cash buyers might value it for free.
By contrast, a house valuation from an independent surveyor usually costs between £250 to £500.
It will depend on several factors, such as the size of your house and the level of detail involved in the valuation.
Speak to several independent valuers to get a quotation for doing a valuation. Then compare these and find the one that works best for you.
How long do valuations take?
The average valuation should take only about 20 minutes.
However, this time only accounts for the visit itself. There is basic research, knowledge, and experience behind visits, too.
What is a probate valuation?
When someone passes away, the probate process begins.
It often involves valuing any properties the deceased owned. The recipient of the estate can calculate the amount of inheritance tax due.
On top of this, a probate valuation is used to:
- Calculate the Capital Gains Tax on any assets that have increased in value since the death
- Ensure any outstanding debts are paid off, and the estate is properly distributed to the beneficiaries
- Make the probate application (as the probate valuation has to come first)
The property will be valued against the open market value. This is how much the property would be worth if it was sold on the open market.
The gross value of the estate is the home’s worth before mortgages, debts, inheritance tax, and funeral expenses are considered.
Can a lender provide a house valuation for free?
It is not common for a lender to provide a house valuation for free. If they visit your property to inspect it, they usually do it for their benefit.
This might be because they disagree with the agreed selling price of your property.
Some lenders offer free valuations as part of a mortgage deal. However, this is rare.
It is often done to incentivize people to use that lender, but it is counteracted with a higher interest rate. It is not always worth it in the long run.
Speak to an independent financial and property expert for more guidance.
Can I decide on my own house valuation?
You can decide what to list your property for on the open market and set an asking price.
After all, selling without an estate agent is possible.
However, you are unlikely to receive offers if your valuation is too high.
And if you value the house too low, you will get less than you could. That’s why you should get it valued by an expert.
In formal scenarios, you cannot value the house yourself. Lenders may want to inspect it themselves as part of giving you a mortgage.
A RICS surveyor should be the one to value a house for probate.
You can negotiate on price with anyone that makes an offer. But you should first get guidance on what sort of figure you can expect.
Otherwise you might be wasting everyone’s time, including your own.
