Valuation Costs

What constitutes a Valuation by the RICS?

When an asset has the potential to be extremely valuable, one calls on the authority of the RICS to perform a property valuation, this valuation, carried out by a chartered surveyor, is the gold standard and is guaranteed to serve the purpose RICS valuer’s valuations usually (and indeed must) serve: to present an opinion of the asset’s market value that all parties can trust – the RICS ensures that the market value is presented with the utmost integrity.

What is the cost of an RICS Valuation?

Several elements can influence the price of a valuation report from the Royal Institution of Chartered Surveyors (RICS) -valuation purpose, location, and the valuation itself can all exert price pressures, particularly if the property is complex. 

Standard RICS valuations for residential properties typically range from £500 to £700. For larger and more valuable residential properties (seldom worth less than £1 million), the fee can run up to several thousand pounds; valuing common commercial and specialized properties usually entails even more time and know-how, which naturally raises the price

RICS Valuation Types

The subsequent situations necessitate the undertaking of a formal property or building valuation:

  • Capital gains tax
  • SIPP asset transfers
  • Buying/selling of property
  • Mortgages
  • Probate or transfer of estate (inheritance tax)
  • Right to Buy
  • Help to Buy
  • Tax planning
  • Divorce (matrimonial valuation report)
  • Dispute resolution (mediation)
  • Shared ownership
  • Reinstatement cost (rebuild)
  • Rent reviews/negotiations
House Value Factors

Determining the value of a property, according to RICS Valuations, involves considering a number of factors. They include the following:

  • Dimensions
  • Years old (age)
  • Quality
  • Structure and materials
  • Rooms
  • Geography & Location
  • Local Authority decisions
  • Permissions
  • Changes (e.g. extension)
  • Comparison Properties
  • Leasehold & Freehold rights
Who are RICS Valuations for?

An RICS valuation might be necessary in several situations. One is when a mortgage lender needs to be assured that the property being used as security has sufficient value. For that purpose, lenders typically require a “mortgage valuation” carried out by an RICS surveyor. It is also common for certain types of financial arrangements to require an RICS valuation for legal reasons. 

Imagine, for example, that you are going through a divorce and it is necessary to divide certain assets, you would want an impartial and reliable assessment of the significant value that some of those assets have, not just a guess that could be way off – similarly, if you buy a property, it makes sense to trust an RICS surveyor to tell you what the market value really is, as opposed to a figure that might come from someone trying to negotiate a deal.

Advantages of the RICS Valuation Report

Why would one need a valuation? Here are a few reasons: 

For Precision and Reliability: RICS Valuation Reports are compiled by experienced property professionals known as Chartered Surveyors and surveyors of this calibre bestow precision upon the property valuation process and ensure that their work can be relied upon by financial institutions and mortgage lenders, as well as by lawyers who need to understand the wealth of their clients for estate purposes.

For Compliance with Standards: RICS surveyors operate under strict rules and guidelines.

For Market Insight: RICS surveyors understand the intricacies of the property market and are well placed to provide a valuation that really reflects current market conditions and trends.

Reduce Risk: An RICS report allows potential property problems to be detected early, allowing for potential reduction in the risk of incurring unforeseen largely expense post-purchase. 

Hitting the Ground Running: An RICS Valuation Report provides the sort of kick-off to the buying, selling, or refinancing processes that lets one hit the ground running with essential timely, and relevant information.

Tax planning: Valuations play a crucial role in ensuring objectivity during legal disputes, tax planning, and compliance matters. When it comes to shaping an enforceable agreement, the precise value attributed to a given asset can make all the difference.

Purposes of insurance: The reason for establishing an accurate valuation seems uncomplicated but involves various aspects of insurance planning, ensuring the appropriate level of insurance coverage.

Investment: An investment strategy is fundamentally a set of guidelines or a methodology used by an individual to make decisions about their investment portfolio.

Global Acknowledgment: RICS is a body recognised on an international scale. Therefore, its pertinent valuation reports are “accepted and respected” when it comes to ventures and investments taking place across borders.

Contracts for Property Valuation

The valuation guarantees that the current market state is accounted for while upholding an impartial and independent perspective of the property’s worth—making it essential and critical in real estate dealings.

The RICS valuation goes far beyond a mere estimate; it genuinely profiles the property and offers insight into its true value, with the professional integrity and expertise of RICS surveyors backing the process – our panel of valuers tailors even further the already comprehensive RICS Valuation service, aiming to assist both buyers and sellers in reaching their real estate goals.

Surveys of Commercial Property

If you’re thinking of acquiring, leasing, subletting, disposing of, or altering commercial premises in Manchester, you would be well advised to locate a surveyor skilled in the nuances of commercial building surveying – should you spot a defect in a commercial building you can use that information to negotiate an asking price for the property that’s considerably lower than what the seller originally wanted, or you can talk your way out of a bad deal altogether. 

Our Manchester-based team of RICS-compliant commercial building surveyors is equipped to handle matters throughout Manchester.

Contact

Our team prioritizes client care above all else. We look forward to being in touch with you so you can instruct a surveyor in Manchester, London, Bristol, Birmingham or Cardiff. You can reach out to us easily. Just fill out our form, and we’ll get back to you with a free quote for your survey. All our surveyors are qualified as members of the Royal Institution of Chartered Surveyors (RICS) and we are one of the UK’s leading providers of building survey and valuation services:

The property survey you commission will be carried out by an accredited professional. Your chartered surveyor will be a member of the Royal Institution of Chartered Surveyors (RICS) or the Chartered Institute of Building (CIOB), or will belong to some other industry-standard professional body. Rest assured; you will receive highest quality of professional service for your survey.

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