Business & Money | Thursday 9 July, 2015 2:27 pm |

Chestertons, an international property agency established in 1805, stated that determining property valuations should be more vigorous. Chestertons is currently supporting 43 leading banks across the region for property appraisals. Property valuation is a fair measurement tool that is used to determine the objective price of a property. Valuation is required for mortgage transactions and negotiations both in retail and corporate banking. 

“Property valuation or property appraisal is one of the fundamental attributes of acquiring a property, no matter where you are. It determines the right amount of fees and also measures risks. Everything should be considered in carefully measuring the unbiased or objective value of a property: location, nature, usability, quality, age, maintenance, and even risks”, said Simon Gray, Managing Director, Chestertons MENA.

To ensure proper and accurate valuation, most real estate companies engage surveyors to visit a property to find out how much it could sell or rent in the current market. Chestertons also has a team of expert surveyors who carry out first-hand physical inspections following the strictest international standards. 

“To determine the value of a property, we have to strictly consider every factor: real estate, economic, and social trends. We also have to take into consideration four factors: demand, utility, transferability, and scarcity. One of the problems that the global real estate sector faces is because of the unstable and inaccurate property valuations”, says Robin Teh, Country Manager & Director of Valuations & Advisory – Chestertons MENA. 

“We also have to keep the property valuations up-to-date. A property’s value six months ago might not be the same as today’s value. If one doesn’t consider property valuation, the transaction might not achieve all the property’s key performance indicators for the lender or the buyer”, added Simon.

 

In addition to vigorous property valuation, Chestertons also recognizes the importance of getting property valuation before selling or buying a property. 

 

According to Robin, “There are legal and financial reasons to make one consider getting a property valuation. We have to understand the difference between value and price—price is how much you pay, value is how much it’s worth. Valuations also help one in deciding on investing or selling a property. Another reason for valuation is a legal document to assist in amendments in case of a dispute”. 

 

Chestertons abides by the Royal Institute of Chartered Surveyors – United Kingdom’s valuation guidelines and conducts valuations based on a fair market value which are neutral and positioned on current market trends and transactions.

Chestertons MENA has developed a team of proficient surveyors who specialize in property appraisals. With a network of 30 offices in London and 21 international offices in eleven countries and five continents, Chestertons is looking to cement its position as the leading international consultancy partner for property, vehicle and equipment appraisals in the Middle East and Asia.

Chestertons with its Middle Eastern headquarters in Dubai offers a full range of property services, including residential and commercial sales and leasing. In addition, the company provides professional property valuation services together with the valuation of plant and machinery. Chestertons MENA also has a very active international sales division, based in Dubai, specializing in the sale of prime, Central London residential apartments and houses to investors from across the entire MENA region.