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How to value your home..

We talk about LVR (Loan to Valuation Ratio's) quite a lot at Priority. But how do you determine what the properties worth? Whether you are buying, selling, wanting a top-up or are just a bit curious, it's good to know how much your property is worth. The figure you found on homes.co.nz is quite different than the government valuation. What’s the difference? How much is the property actually worth? And what value is the bank going to use?

Government/Rateable Valuation
A Government Valuation (or GV) are valuations that are taken out by local council which helps determine how much the properties rates will be. These valuations are a snapshot of the what the estimated market value is at that time which is determined by the estimated land value + an estimated value of improvements. These GV's are reassessed every couple of years and don't factor in renovations, refurbishments or landscaping so they aren't as reliable as other options. You can find the GV of a property on the local council's database otherwise if you are the property owner, the value will be on your most recent rates invoice.

E-Value
An E-value is the more common method of valuation. It is an online, generated valuation which the bank uses to give a better indication of what the property is worth. This report is more in depth (and more accurate) than the Government Value, and factors in comparative sales. An E-value is not to be confused with a valuation from free market analysis website (such as homes.co.nz). You can purchase an e-value from the banks approved panels for around $35 - $50, otherwise we can sometimes get these reports for you.

Registered Valuation
This is generally the best insight into what your property is worth. When you order a valuation, a professional valuer will assess your property and give you a estimated market value of the property at that time. After a full inspection of the property and market research they will put together a report which factors in the land value, capital value, zoning maps, comparative sales etc. Although this is the best option to get an accurate value of the property, these reports do cost $650+ for a standard valuation (these fees do waiver) therefore we normally only order a valuation if it is required by the bank or you want to access more equity that has not be picked up in an e-value.

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