Formal Valuation Reports, otherwise known as Redbook valuations, are commonly required for mortgage lending purposes, Divorce, Probate (Inheritance Tax), Matrimonial, Capital Gains, Right to Buy, Help to Buy and litigation valuation purposes. These valuations can only be carried out by a Registered Valuer who is a professional member of the Royal Institution of Chartered Surveyors (RICS). Each valuation has to comply with the RICS Valuation Global Standards 2020 to ensure that high standards are met in regard to the inspection of the property, investigation with desktop research and the valuation methodology required by the type of valuation undertaken, analysis, definitions, justification and presentation are met. The end report should therefore be a thoroughly considered and robust document that the intended parties can rely upon.
For each type of report, varying valuation techniques and methodologies may be used, which will be explained thoroughly within the final report. The standard process undertaken for a Redbook Valuation is as follows:
- Confirm instruction / complete terms of business and conflict of interest checks.
- Book date and time for property inspection. (Inform client of this once booked).
- Complete desktop research. This will investigate whether the property is within a flood risk zone, mining area, at risk of Mundic, in a high radon area, contaminated land, in clay-based sub soil, has a risk of non-native plants such as Japanese Knotweed growing in the area, conservation zones, at risk of planning blight and boundaries from the title will be identified (if possible).
- Undertake inspection. Defects that will significantly affect the value of the property will be identified and documented.
- Comparable properties will be selected from recently sold properties and compiled into a comparable matrix. (Or if required other valuation methodologies will be undertaken.)
- A report will be compiled based on all of the above. This will give a concise and detailed report, including any defects that will affect the saleability of the property.
The way in which Steren Surveyors do things a little differently is that after our report is complete we offer a Post Survey Care service that allows our clients to sit down whether it be face to face or over the phone with us and discuss the report thoroughly. After which, if it is required, we are happy to communicate on your behalf with any related party regarding the report.