Valuation News

When it comes to Melbourne property valuation, sometimes disagreements can arise between homeowners and the valuers. If you feel that the assessed value of your property is incorrect, it’s important to know how to dispute it. In this step-by-step guide, we will walk you through the process of disputing a property valuation. 1. Understand the Assessment Process: Before diving into the dispute, it’s crucial to understand how property valuations are assessed. Valuers consider various factors such as location, property size,

A capitalization rate (cap rate) is a key metric used by real estate investors to evaluate potential returns and analyse property values. What is a Cap Rate? In simple terms, the cap rate is the ratio between the net operating income produced by an investment property and its current market value. It is calculated by dividing the net operating income by the property value. Mathematically: Cap Rate = Net Operating Income / Current Market Value The cap rate expresses the

Many homeowners have an inflated sense of how much their property is truly worth on the open market. Sentimentality and lack of impartiality mean they often overvalue their most prized asset – their home. Why Homeowners Overestimate Their Home’s Market Value There are several psychological and emotional factors that cause owners to overprice their properties: Emotional attachment – For most, a home is more than just an asset. Years of memories make it hard to be objective. Numb to flaws

Mass appraisal is the process of valuing multiple properties at once using automated valuation models (AVMs). This allows assessors to efficiently value large numbers of properties for property taxation purposes. How Mass Appraisal Works Mass appraisal relies on statistical modelling using recent sales data for comparable properties. The valuations are generated by computer algorithms rather than individual physical property inspections. Key features of mass appraisal in Australia include: Automated Valuation Models AVMs analyse various property features like size, location, number