Grasping the importance of a professional property valuation
Namibians and foreign investors buy real estate for mainly two reasons: personal use and investment. To those who have the ability and financial backup to afford property, it provides stability, independence, and freedom.
The Namibian property market has, however, taken some strain in the last couple of years because of economic difficulties as well as the worldwide Covid-19 pandemic.
To further complicate a seemingly standard practice, financial institutions have put in place risk analysis programmes to rate buyers’ capability to purchase property when applying for home loans; the sellers’ sector has become a “selling below offer“ bonanza; and a willing buyer/willing seller transaction is subject to pre-approval on demand, putting further pressure on the property market in general.
The best way for any buyer and/or seller to keep up to date with fluctuating property market trends is to obtain a valuation certificate from a professional, bank-approved property valuator.
Lofty Eaton Real Estate CC was established in late 2020 to give guidance and provide property services related to the buying and selling of property, development feasibility studies, valuation services and market consultations.What is a property valuation?
A property valuation is best defined as “The estimated amount for which an asset (fixed property) should ex-change, on the date of valuation, between a willing buyer and a willing seller, in an arm’s-length transaction, after proper marketing, wherein the parties had each acted knowledgeably, prudently and without pressure.”
This analysis should be done as accurately as possible, whilst taking into consideration ALL factors which might affect the valuators’ professional opinion on the date of valuation and in terms of:
Importance of a valuation certificate
- Market and economic conditions
- The physical condition and appearance of the property
- The area in which the property is situated
- Surrounding properties and amenities
- Functionality and practicality of the property
- Finishes and fixtures
- Latest comparable information
- Replacement costs (should be obtained from accredited contractors)
- For proper and up-to-date insurance values
- For home loan applications
At Lofty Eaton Real Estate we refer you to affordable and professional companies who have over 40 years of knowledge and expertise in the valuations field and are approved by all financial institutions. They are qualified and specialised in the residential, commercial, industrial and agricultural sectors. Erongo Region
Cell: 081 354 3812 / 081 124 2066
Valuers Trust ([email protected]
/ [email protected]
) Khomas Region
Cell: 081 219 6609
Eaton Property Valuations ([email protected]
Arthur Loftie Eaton