Lending
Since the company was formed in 1992, valuations of residential property for secured lending purposes have been central to the services we provide.
Lending valuations are required for residential property by any company that offers a loan secured against a property, with the valuation being utilised in order to decide on the exact amount to be offered to the borrower. In basic terms, mortgage providers use the valuations to make an offer.
Foster Slater is currently on the panel for several private banks and has historically carried out work for a range of lending organisations and institutions.
These valuations must always be RICS “Red Book” compliant, and the firm takes pride in ensuring that all due diligence is carried out thoroughly. This entails carrying out an inspection of the property in order to gain insight into the nature, features, condition and layout of the property together with notes on the local surrounding area and measuring the property in accordance with RICS Property Measurement (2nd Edition), which ensures compliance with International Property Measurement Standards.
The due diligence also includes, inter alia, analysis of the tenure (leasehold or freehold interest) of the property, an in-depth planning check, council tax, flood risk and EPC.
Our valuation reports will most commonly provide a Current Market Value and Market Rent, although the exact outputs are set and agreed within our terms of engagement at the point of instruction, and have led to providing figures on different assumptions, in order to provide a bespoke service for our clients.
Most commonly the market approach is used in order to find the Market Value and Market Rent. This entails in-depth analysis of the comparable evidence gathered using subscription-only property portals, verifying transactions with Land Registry records, using our previous knowledge and valuation research and speaking with a range of active, local agents.
Providing that the lender will accept our valuation, the firm will undertake any residential valuation of this nature providing our local knowledge is thorough, there is no conflict of interest and our Professional Indemnity Insurance is sufficient.
In terms of fees for this kind of valuation, we are happy to quote as a percentage of the Market Value or as a set, flat fee – whichever our clients prefer.
