In the process of selling your house, valuations are crucial.
It’s crucial to deciding your asking price.
Perhaps the most common way to get a house valuation is via an estate agent.
But do estate agents charge for valuations? And are they reliable?
How estate agent valuations work
You may receive varying levels of detail in your property valuation, depending on how much you spend.
The most well-known and common type of valuation is a valuation by an estate agent.
It will involve a simple estimation of your house’s value, based on:
- Economic factors, such as interest rates
- Recent similar house sales in the area
- Your property’s condition
- Supply and demand in the current market
- Planning/building regulations.
And more.
Sellers often get more than one valuation
It is often recommended that sellers complete more than one property valuation.
This is because they will usually receive varying quotes from different people.
How much does an estate agent valuation cost?
Estate agents will usually complete your valuation for free.
With any reputable firm they will not tie you into a contract to offer this service, meaning that you are free to walk away at any point.
This may be because decide not to sell your hour, or you choose a different estate agent.
Estate agents can complete valuations for free because they hope you will decide to sell your property to them.
If this happens, estate agent fees include a commission from the final sale price (usually around 1.5%, although it may be slightly higher or lower).
When do estate agents charge for a valuation?
With some estate agents, you can pay extra for increased detail in the valuation.
This might include what a potential extension might add to the house’s value and where this could be achieved. It could also have recommendations for improvement.
What is an independent valuation cost?
Some estate agents lie about offers in order to gain customers. They then encourage the seller to reduce their asking price later on (having planned this all along).
So, many sellers use a chartered surveyor instead. Surveyors charge for a valuation but they also provide a more accurate, honest valuation. In the long term, this valuation can save a lot of money and uncertainty.
How much do independent valuations cost?
According to online figures, an independent house valuation can cost anywhere between £300 to £600.
This figure varies depending on the size of your property and the level of detail in your valuation.
Bigger houses cost more to value because there are more rooms and outside areas to cover. This means more elements that need inspecting, such as:
- Windows
- Door hinges
- Fixtures and fittings
- Boundaries
- Electrical wiring.
And more.
Valuation vs. surveys
No, a valuation is not the same thing as a property survey.
A valuation is an estimate the value of your house in the current market. A survey searches for hidden defects, structural issues, or any other existing or potential problems.
A property survey is usually paid for by a potential buyer who wants to identify any issues with the building that they are unaware of.
The findings may impact the price they are willing to pay for the property, so they want to anticipate any problems before they agree on the final sale price and exchange contracts.
Estate agents do not typically conduct property surveys, a chartered surveyor usually does.
What to expect from a high-quality valuation
The best valuations will consider factors you may have yet to consider. Some examples include:
- Parking spaces
- Lease length (if applicable)
- Expansion potential
- Recent similar property sales in the local area
- Forthcoming developments in the neighbourhood
With any positive or negative findings, it is the estate agent’s job to communicate the importance of these when selling your house.
Do you need to prepare for a property valuation?
Yes, there are preparation steps you can take to give a valuer/estate agent the best chance of completing an accurate valuation.
Tidy up
Firstly, you should tidy your house so there is no clutter or junk – this is often known as staging.
This makes it easier for the valuer to assess the condition of your property.
Anticipate buyer questions
If you have any questions for a valuer, these should also be considered before their arrival, for example:
- How your house compares to others in the area
- What condition your roof is in
- How extensive the square footage is
- When your house was built.
And more.
Ask for estate agent details
You could also ask the estate agent (if that is who you are using for the valuation) about their company’s services.
An in-person conversation is an excellent opportunity to discuss services, fees, the advantages of picking them over their rivals, etc.
Do all estate agents offer valuations?
Any high street estate agent will likely offer property valuations.
It is rare to find an estate agency that doesn’t. However, how in-depth and accurate these valuations are is different.
If you want to find out whether an estate agency provides this service, you should contact them to determine if they offer it and what they charge.
Do cash house buyers provide house valuations?
Yes, a reputable cash house buyer like We Buy Any Home will offer valuations on your property.
Remember that this figure will be slightly below the typical market value because these companies will provide up-front cash to buy the house within seven days.
