Richardson and Wrench

OWNER’S GUIDE TO SELLING RESIDENTIAL PROPERTY 0.3 Valuation vs Appraisal This is intended to inform the seller of a residential property. We will only outline the one method used in our local market and that is the Comparable Sales Method. Comparable Sales Method Direct comparison of similar property in similar locations is the most common and popular method for agents to establish market pricing. You must compare ‘like with like’ – ‘apples with apples’. Unless your comparisons are similar in location and characteristics, they may not provide a suitable benchmark. Unless qualified and registered as a valuer, agents may only provide an appraisal – which is an OPINION of market worth. A valuation carried out by a registered valuer will take into account a range of factors that may affect pricing. They use historical data and dissect it in greater detail than an agent usually does. The valuer provides a sworn valuation which forms the legal basis of value. Whereas, an agent can only provide an estimate of the possible price that can be achieved. 0.2 Method of Appraisal