Use evidence, not aspiration
Purchase price, market value, investment value and a post-works estimate are different measures. The structure must use the basis relevant to the proposed security.
Evidence the security
The valuation is not a formality.
The valuation anchors the security analysis and can change the available facility. Access, title, condition, planning and comparable evidence all influence how quickly the report can support a decision.
Operator notes
What the valuation needs to establish.
A strong application makes the property easy to inspect and the relevant facts easy to verify.
Surface material issues early
Occupancy, disrepair, non-standard construction, planning, licensing and environmental issues can affect value, marketability and lender appetite.
Remove avoidable access delays
Confirm access, contacts, leases, plans and property documents before instruction. A fast valuation cannot compensate for missing information.
Next step
Make the property ready to be underwritten.
Prepare access, title, tenancy, planning and works information before the valuer is instructed.
Practical context
The valuation can change both the amount and the route to completion.
A valuation is commissioned for the lender’s security decision. It may not adopt the borrower’s estimate or the price agreed between connected parties. The report can also identify legal, planning, condition or marketability points that need further work.
Borrowers can reduce friction by providing accurate property details, immediate access, tenancy and planning information, a schedule of works where relevant and evidence supporting the proposed exit. Hiding a weakness usually creates a later delay rather than a better outcome.
- Confirm the exact property, tenure, occupancy and charge position before instruction.
- Provide plans, leases, planning documents and works information in one pack.
- Do not size the transaction to an untested value with no margin for change.
Decision framework
Use the comparison to make a funding decision.
The valuation protects the lender and tests the assumptions behind the exit.
Current market value
The value in the property’s present condition.
Restricted-sale assumptions
A shorter marketing period may produce a lower figure.
GDV
Relevant only where works and planning support a credible completed value; it is not the same as current security value.
Examples are educational; eligibility, pricing, security and terms depend on formal assessment.