Certifying Property Valuers – Why Is It Important

Valuation of properties is extremely important when there is a decision to buy or sell the same. However, it would be an understatement to say that the process is complicated and complex. Hence, it is but natural for almost all customers, however big or small they might be to outsource the entire job of valuation to experienced and competent professionals. But how does one find out whether a valuer is experienced, competent and skilled? There should be some yardsticks and methods by which this can be found out. It is therefore compulsory for all valuers to have a certificate issued from the competent authorities. The certificate certainly ensures that the valuers have gone through the various due diligence process before setting up shop. Certification also ensure that the valuers abide by the rules and regulations and are transparent in their dealings with customers and other stakeholders. It goes a long way in ensuring that the follow the generally accepted standards and practices when valuing a property.

Accurate valuation of the property is very important because it goes a long way in ensuring that the buyers and sellers take an objective decision based on the inputs. Apart from the quantitative figure available in the valuation reports, there are also a number of other areas too where the report is found to be very useful. For example, professional valuation reports also contain mention about quality of neighborhood, infrastructure development, availability of amenities and facilities and other such important information. Hence, it is important to ensure that all these information are made available in each and every valuation report that is generated by valuers. This is possible only when certification of valuers takes these facts into account.

Now coming to specifics of certification, this is usually done by the government appointed authorities who have the mandate to offer such certification. It is not done by default but is done only when the valuers go through the various due diligence processes as mentioned above. The process of certification may require the authorities to spend some time with the valuers and understand the process flow and the various steps that they are taking to ensure smooth and error free valuation. Once they are satisfied they issue the certificate which entitles the valuer to carry on business in the city.

Read More

How Important Is Certification Of Property Valuers

Since valuation is a very critical and vital part of any property buying and selling, the persons who are valuing it should have the right kind of experience, expertise and qualification. To judge and ensure that they have the right wherewithal to carry on valuation business, it is very vital that they are registered and certified by a competent authority. This has to be done on a regular basis and each and every valuer who wishes to start a valuation business must go through this process. Let us over the next few lines try and find out what exactly the functions are of certifiers and how it helps customers and the businessmen who are into this business.

The main job of a certifier is to find out whether the right processes are being followed by the valuer. A good certification process also streamlines the operations of valuers and irons out grey areas that might exist. Further, it finds out whether the valuation figures that are being quoted by valuers are a true and fair representation of the market value. This is extremely important and forms the crux of any good valuer. Further valuers are also known to attach a lot of subjective information along with their valuation report. It is also the duty of the certifier to ensure that they follow the best practices while giving such subjective bits of information.

Though the certificate for the valuers has the stamp of approval of the government authorities, the entire process of examining the valuer and inspecting his processes are usually outsourced. They are handed over to people who are qualified valuers themselves and have a good reputation and experience in this line of business. They are supposed to go through a series of process before actually coming out with the valuation certification evaluation report. Only when this is vetted by the government authorities will it be possible to move forward in the matter. In fine, the role of a certifier is more of an enabler rather than anything else.

Read More

Why Should A Property Valuer Be Certified

Since the importance of a valuation report is more than evident, care has to be taken to ensure that the report is accurate in form and content. It therefore makes sense to only go in for valuers who are certified under the law. When you have a real estate property valued by a competent and qualified valuer you can be sure that is correct and genuine in all respect. But who will ensure that the valuers are representing the facts at all point in time and are representing only facts? For this to happen it is important monitor the performance of these valuers on a regular basis and only by those who are qualified to do so.

This is what certification all about. Before a valuer is permitted to handle valuation of buildings and other real estate properties it is important that he knows what exactly he is doing. This has to be examined by an independent authority. Only when the independent authority is sure about the quality of services being provided by the valuer, would it offer him or the company the certification. Hence, certifications certainly have a big role to play as far as the efficiency, accuracy and factual representations are concerned.

Certifications are not handled by the government departments themselves. The entire task of certifying is handed over to experienced and capable third party service providers. They are usually finance consultants and other valuers who have certified themselves. They will be therefore in a position to examine the processes and procedures being followed and make necessary corrections wherever necessary.

At the end of the day it has to be understood by valuers that certification is not something wrong or not something that imposes unreasonable conditions and demands. It is about bringing in place a formal system and processes which should be followed by all those who are responsible for such valuation. It has to be taken as an enabling tool rather than being looked at from a negative point of view, under all circumstances.

Read More