The property market is constantly evolving, and like most industries, technology is the main driving force behind any advancements in the real estate world. Whether you’re a buyer, seller or investor, a big part of the real estate industry is property valuations. Property markets move at an alarming rate, and there’s an increasing demand for speed as a result. Valuations are needed quicker than ever, and property firms are evolving in an attempt to meet this demand. While valuations have moved online, which has sped up the process, there remains a gap between desktop valuations and RICS valuations. One offers speed, while the other offers accuracy and reliability.
Validate is a property company based on the outskirts of Manchester in the UK that has created a hybrid approach in an attempt to plug this gap. In this article, we will explore how Validate’s Desktop+ represents a new era for property valuations.
A traditional desktop valuation is a fully online process that delivers a property valuation to the user. These types of valuations are driven by data, including things like the sales of similar properties in the local area. They have evolved, and desktop valuations today may involve photos and videos of the property, although early desktop valuation models would’ve purely relied on numbers.
Most people use desktop valuations due to their speed. Some online valuation tools even offer an instant valuation of a property’s value by taking the postcode of a property and using the current state of the property market in the surrounding area. They’re also low cost, and many property platforms offer an instant property valuation calculator for free to attract potential buyers.
The downside is that these desktop valuation tools aren’t fully reliable, which means they wouldn’t be accepted by lenders in the mortgage process. As they rely on historical data, they don’t fully capture the individual characteristics of a property or the condition it is currently in.
At the other end of the spectrum sit traditional RICS valuations. These are the types of property valuations that are used by lenders when someone applies for a mortgage. They’re considered accurate, reliable and official, sometimes used in courts to settle disputes.
A RICS valuation is carried out by a chartered surveyor who belongs to the Royal Institute of Chartered Surveyors (RICS). They will assess every inch of a property, including its condition and location. This means they’ll also factor in the current state of the market using their up-to-date knowledge, rather than relying on historical data and past trends.
They should involve a physical visit to the property too, which further increases the accuracy of the property valuation. The downside of this is that the process does take longer to complete, which isn’t ideal for those who require an instant valuation.
The shortcomings of both traditional desktop valuations and old-school RICS valuations mean the industry is ready to move on. With AI seemingly sweeping the world and disrupting sectors on a daily basis, users are ready to adopt hybrid models that combine modern technology with human expertise. Desktop+ from Validate offers exactly that; it’s more reliable than a traditional desktop valuation and quicker than a RICS valuation. It remains to be seen how quickly this type of valuation will be adopted by other property companies, but early signs suggest that users will be quick to adopt this form of technology.
As outlined already, Desktop+ offers a combination of online and offline methods. It sits between the two approaches and uses qualified RICS surveyors to ensure thorough, accurate reporting on property valuations. While in-depth, offline valuations known as red book valuations are available and also needed, they’re not completed with the same speed as Desktop+. It’s also worth knowing that Desktop+ offers almost all the same features as a red book valuation, which are listed on the Validate website.
Validate offers a turnaround time of 48 hours for their Desktop+ reports. While this isn’t instant like some online valuations, it is far quicker than waiting for a RICS valuation. The other significant benefit is cost. Desktop+ offers a more affordable solution than a RICS valuation, especially in circumstances such as taking out a secured loan. The improved accuracy as a result of using an experienced professional also benefits clients in terms of security.
As the technology develops, it’ll be interesting to see how the benefits of Desktop+ change. For example, the speed may increase further, and if competitors enter the market, this may drive the price down further.
It’s clear that Desktop+ is filling a gap in the property market. Customers and clients want convenience and speed, but no longer can this come at the cost of accuracy. Accuracy is key when it comes to property, especially if you view property as an investment opportunity. Even for everyday homeowners, though, accurate valuations are important, and we’ll likely see much more of this hybrid approach going forward.
The food delivery industry continues to expand rapidly, driven by changing consumer habits, digital transformation,…
Knowing the LinkedIn Premium price is essential before picking a plan. Many people have been…
Social media is the pulse of a brand’s communication. No matter the size of your…
Every time technology leaps forward, innovations in safety are bound to follow. Whether it’s early…
The real estate industry has barely changed and has stuck to its old ways, which…
A crypto exchange is more than a mobile application on which people conduct the buying…