Definition
A Valuation Report is an authoritative document prepared by a certified, independent Property Valuer. It calculates the fair market value of a property based on its location, age, structural condition, built-up area, and comparable recent sales in the vicinity. This report is mandatory for buyers seeking a mortgage, as banks will only loan money against the officially certified value of the collateral.
Practical Example
A buyer agrees to purchase a resale apartment for ₹1 Crore and asks the bank for an ₹80 Lakh loan. The bank sends its empaneled valuer to the site. The valuer issues a Valuation Report stating the apartment is badly deteriorated and only worth ₹75 Lakhs. The bank refuses the ₹80 Lakh loan, citing that the requested loan exceeds the actual valuation of the asset.
Application in Superwise
For developers, managing the perceived valuation of their project is key. By using Superwise to ensure construction finishes on time and high-quality materials are transparently tracked via QA modules, the final built asset commands a premium during the eventual bank valuations requested by their homebuyers.
Related Feature
Learn how Superwise handles this in our dedicated feature:
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