When to have a property valuation

A property valuation isn't only for buying a home. You may need one when selling, refinancing, disputing your WOZ value, or renovating. Here are the five most common situations where a valuation report is either required or simply a smart move.

1. Valuation when Selling a House

If you're selling your house, a valuation report helps you set a realistic asking price. During negotiations, you can use it to back up your price.

2. Valuation when Buying a House

This is the most common reason for a valuation. To buy a house you'll usually borrow money from a lender in the form of a mortgage. Because the lender takes on the risk, they want to be sure the property has enough collateral value, and the requirements keep getting stricter. If you take out a mortgage with the NHG (National Mortgage Guarantee), the valuation must be carried out and approved according to fixed rules.

For an NHG mortgage, your home must be appraised by an appraiser affiliated with the NWWI (Nederlands Woning Waarde Instituut), an institute that checks appraisers against strict quality requirements.

3. Valuation for WOZ Value

Every year your municipality sets a new WOZ value, its estimate of your home's value. A higher WOZ value can work in your favour: if your home is now worth more relative to your mortgage, your risk surcharge can drop, lowering your monthly interest.

If you disagree with the WOZ value, you can have your home reassessed and ask the municipality to correct it.

4. Valuation in Case of Renovation

After a renovation there are several reasons to get a fresh appraisal. A higher value lets your insurer recalculate your home insurance premium, and if the renovation increased your home's value, you may be able to include part of the renovation costs in your mortgage. So an appraisal after major work often pays off.

5. Valuation when Planning to Renovate

A valuation report also gives you an overview of improvement options, both for increasing your home's value and for making it more sustainable. You'll get a financial perspective on possible energy-saving measures: what they cost and what they save.

New-Build Home

If you buy a newly built house straight after completion, you generally don't need a valuation report to take out a mortgage. If the new-build has been on the market for over a year, that can change and you may still need to arrange a valuation.

Looking for the right appraiser? HuisAssist gives you free, no-obligation advice and matches you with appraisers that suit your situation. You can compare appraisers without any obligation.

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