Check this out:
http://smh.com.au/articles/2004/10/01/1096527940135.html?from=moreStories
…and you thought driveby (“restricted access”) valuations were slack
)kay henry
Hi,
On the topic of valuations…
At one point Dave and I had purchased about six houses in close proximity of each other.
When we bought another one we asked the financier for a copy of how the valuation report, which just happened to list, under the heading of recent sales, the six other properties we’d just bought!
Overall, it’s wise to remember that a valuation report is just someone’s best guess, and that ultimately it is the market who decides what a house is worth. That’s why it’s wise to pay attention to market forces that impact sentiment as well as general affordability.
Regards,
Steve McKnight
**********
Remember that success comes from doing things differently.
**********Steve McKnight | PropertyInvesting.com Pty Ltd | CEO
https://www.propertyinvesting.comSuccess comes from doing things differently
Valuations are based on “historical” evidence – that’s the science part of it, the rest of it is art.
I once bought a vacant retail shop with the intention of converting it to a restaurant. The valuation didn’t come up to speed making it difficult to finance.
The valuer sat outside the building from 10am to 11 am to monitor pedestrian traffic. Because there was no one around he decided it wasn’t suitable for retail. I tried to explain that the reason for this was that the shop was empty and everyone was at work in the multi story offices down the road during that time. Also that pedestrian traffic was a marketing thing and not entirely a location thing.
To cut a long story short, I bought it, converted it, leased it out and the same valuer revalued it at almost double about 1 year later.
Valuation – art or science??
Cheers
JeffValuation – art or science??
or
Valuation – PI insurance premium??
)
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