With UK house prices fluctuating, working out how much your property is worth can be difficult.
A desktop property valuation offers a quicker and more affordable way to get a general figure.
But how reliable are they?
This blog will explore what a desktop valuation involves, who provides it, and more
What is a desktop property valuation?
A desktop property valuation is also known as a desktop appraisal or drive-by valuation. It estimates the market value of a property without inspecting it.
The valuer bases their judgement on comparable property sales and area demographics.
They’ll also look at local market conditions and the limited details available for the property. This includes:
- Floor plans
- Number of bedrooms
- Photos.
It is a more affordable, quicker alternative to a full valuation. But it’s also less accurate.
A desktop valuation doesn’t involve the surveyor entering the property. They also won’t create a detailed report on its construction and condition.
Desktop valuations offer a cost-effective way to get an approximate value. This is useful when the internal condition is not the main factor.
Who does a desktop property valuation?
Estate agents or surveying firms usually carry out desktop valuations.
Banks and building societies may order them when approving mortgages.
Solicitors often recommend homeowners get a desktop valuation when selling. This helps to guide the asking price.
They can be helpful for inheritance tax planning. Some websites offer instant, free, automated desktop valuations by entering the property’s postcode.
But these are very rough estimates. For a professional desktop appraisal, expect to pay a qualified valuer.
A benefit of using an estate agent to do a desktop valuation is they will have insight into local property sales and current market conditions in the area.
Their experience with selling homes means they can make an informed judgement.
Many estate agents now offer desktop valuations as a free extra service. This encourages new vendor instructions.
How accurate is a desktop property valuation?
The accuracy of a desktop valuation can vary.
Without inspecting the property, the valuer cannot assess its exact condition. They may miss defects that affect value.
Desktop valuations often land within 10% of their actual value. Factors like unusual features and renovations may be overlooked, though.
This also applies to neighbourhood nuances. This skews the result.
As such, desktop valuations give a reasonable ballpark figure. But should not be relied upon when selling or buying.
How much does a desktop property valuation cost?
Costs for a desktop valuation are around £100 – £250.
This includes VAT from an estate agent or surveyor. Some may offer discounts when combined with other services like selling the home.
Large surveying firms tend to charge at the higher end. At the same time, online instant valuations are free but less thorough.
The limited work involved means desktop valuations are far cheaper than physical valuations.
These cost £200-£500 for an introductory RICS survey. But, desktop reports contain fewer details and photos compared to full valuations.
Advantages of a desktop property valuation
Quick and affordable
A desktop property valuation gives you a quick and affordable way to estimate property value.
There’s also no need to grant access or be present for the valuation.
Suitable for tax planning and probate
The valuation provides a valuable guide price when selling or remortgaging.
And it’s suitable for inheritance tax planning and probate purposes.
Repeatable
The low cost means it can repeat at various points, for example, before and after renovations.
Disadvantages of a desktop property valuation
Less accurate
It is less accurate than a physical valuation and only provides a ballpark figure. It also does not assess the internal condition of the property.
May overlook issues
These valuations can overlook red flag issues like subsidence, dampness, or flood risk. Local knowledge may be lacking compared to that of a local surveyor.
Fewer details involved
It also has fewer photos/details than a full structural survey report.
Should I get a desktop property valuation?
Desktop valuations offer a low-cost way to get a general idea of property value for various purposes.
But, their limitations mean they should not be relied upon when buying, selling, or raising finance.
Get a desktop report alongside a physical survey for these transactions.
And if you only need a rough guide, it could be helpful. It’s often used for inheritance tax planning, too.
Just beware of the margin of error!
