REA price or Valuers price?

Hi, we had a REA do a value for market listing and they suggested a price : 550-590k.. the market is a bit hot now that seems decent..

so we went to a licensed Valuer who came around must have spent 30 or 40 minutes there and the sales value report suggests market value is 500k

should we ask another REA for a value and see what happens?

or should we expect sale price is more near the Valuers price?

Sure, right house right person anything might sell, but I don't think we would want to sell at the Valuers price.

Should we assume the valuers price is correct?

The other thing is if the valuers price is right and someone does think it is worth 560k and offers on that, chances they might have issues getting finance for it etc could become an issue, right?

 

Dont assume anything if market is Infact booming.
I would be looking at recent sales comps. 1-2 weeks

 

An agent is wanting a listing & selling their services, personality & skills.

The valuer is a paid opinion, they've already got your work & stand to get no more based on the figure they determine. Their valuation can be accepted by the ATO or Valuer General for a related party transaction but means very little when selling.

If you want a selling price ask an agent, if you want to know what it's worth ask a valuer.

 

Ask them both what are the comparables that they've used to value your property. Have they used the same comparables?

They could both be wrong, it's only someone's opinion.

We had our properties valued by 4 banks valuers, the variances between the highest and lowest valuations were at least $100k. At the same time selling agent might be optimistic trying to get your sale.

 

Valuers tend to take a conservative view and agents tend to hype it up a bit. In my experience, it's somewhere in the middle.

However, if you're doing it for a loan then take the valuer and that's what the bank will pay attention to!

- Andrew

 

Well you don't have to sell if you don't want to?.
What are you trying to achieve? Did you want to test the market ?
Have you been to sales nearby and assessed the current demand?
Anything sold nearby of similar land size/age and what did it sell for?
Valuers will typically be under the real estates offer.
Possible risk re the finance but thats not your problem thats the buyers (yes it would be inconvenient) -> if there is strong demand then perhaps you can say you only want cash offers and no subject to finance clauses will be accepted.