Understanding mortgage valuation
If you’re applying for a mortgage to buy a property, your lender will require a valuation of that property. This is known as a “mortgage valuation” and its purpose is to determine the market value of the property. Mortgage valuations help lenders decide if a property is suitable for financing and, if so, up to what amount.
Who undertakes a mortgage valuation?
A mortgage valuation must be undertaken by a registered valuer and most banks have a panel to choose from. In most cases, the bank will pay the valuer for their report but in some instances, you (the borrower) may be asked to arrange for the valuation to be carried out.
Sherry FitzGerald is on the valuation panel for a number of mainstream lenders. With offices in Cork, Dublin, Galway, Limerick and Wicklow, our nationwide team of registered valuers is ready to undertake mortgage valuations in any county in Ireland.
What is a Mortgage Valuation Report?
After visiting the property, the valuer will send a Mortgage Valuation Report to the lender. A Mortgage Valuation Report states the market value of the property. It includes the details of the property (location, size, and features) and an appraisal of the property’s condition. A Mortgage Valuation Report is informed by the valuer’s knowledge of comparable prices in the locality.
A valuation may also be required if you are changing mortgage provider or for Loan to Value (LTV) purposes, if you are looking to avail of a new interest rate.
What’s the difference between a mortgage valuation and a home survey?
A mortgage valuation is for the benefit of the mortgage lender. It provides them with an overview of the property for lending purposes. A home survey is an inspection of a property by a qualified surveyor. It provides a comprehensive analysis of the property’s condition and structure, identifying potential problems and the estimated cost of repairs.
We’re here to help
Contact our dedicated valuations team today on 01 2376442 or by emailing resivals@sherryfitz.ie. You can also visit our website at www.sherryfitz.ie/specialist-valuation for a swift, informed and efficient service.
