Valuations Help

[Striver14]

Hi everyone, I bought a residential property in South Auckland about 1 1/2 years ago. It is a 3 Brm house with a large fully fenced section (over 1200 sq m), subdividable and is currently rented out for 350 pw. Since purchasing the property I have had it insulated, underfloor and roof, and had a heat pump installed. I've also installed a garden shed and a front gate.

I have been told by property agents that the price of the property has risen considerably since bought it (I managed to buy it very cheaply). I had an idea that I would get it revalued and use the extra equity to purchase another property.

The trouble is that a property valuer who I have rung has given me an indication that he would probably value it far less than what I was told (which was around 330,000). I dont want to spend 500 bucks on a valuation only to have it come far less than than expected and hence useless for my scheme.

Any help and advice would be appreciated. Thanks

[Maccachic]

Valuer's advice is probably the best from your story - real estate agents are always going to push high prices whereas the valuer basically did himself out of a job by telling you his advice.

[PTILoveYou]

If you want to use the equity to buy another property, first speak to your bank/broker about that. ASB, Sovereign, ANZ (maybe even Westpac too) are now using PropertyIQ for valuations, so you can't pick your own valuer anymore. PropertyIQ will assign one to you.

Also depending on the equity you need to buy the new property, your bank or broker can use QV as a price to base on. If the QV value gets what you want, you don't have to spend the money on valuation (your cashback should cover the valuation anyways).

[Striver14]

Valuer's advice is probably the best from your story - real estate agents are always going to push high prices whereas the valuer basically did himself out of a job by telling you his advice.

Hi Maccachic, thanks for your advice. You are right that real estate agents may give one a high price for your property, but I have been searching for properties for quite sometime now and I can find no comparable properties anywhere in Auckland for anything less than what they have told me. In fact they have been quite a bit more even in the not so flash areas.

Off the top of your head,how much do you think a 3 brm house in reasonable condition,1970's,on a subdivisable section over 1200 sq m would be worth in a not flash area in South Auckland?

(By worth I mean how much could it be sold for - to me that is what it seems it should be worth)

[Striver14]

Hi Gary, thanks for your reply. Yes I found out that not all valuers are approved by my bankers but I can choose my own valuer. I just have to check back with my bankers if they are approved or not. If approved and if their value is higher than the QV value then they will accept the valuers value.