Bank Valuations and Independent Finance Valuations in Sydney
Monita provides independent valuations for bank finance and refinancing, and can help you understand a bank valuation that looks too low.
Bank Valuation vs Independent Valuation
A bank valuation is commissioned by the lender to assess the security for its own loan. An independent valuation is commissioned by you, so you can see the evidence and reasoning behind the figure. Monita provides independent valuations for bank finance, refinancing and security reviews, and can help you understand a bank valuation that looks too low.
Who Needs One?
Banks, non-bank lenders, mortgage brokers and borrowers.
- Residential property
- Commercial & industrial property
- Rural & development sites
- Plant & equipment security
Bank Finance Valuations in Sydney
Monita provides independent valuations in Sydney for borrowers, brokers and business owners who want to understand the value of property, plant or business assets offered as security. Our office is at 1/261 George Street, Sydney NSW 2000.
Reports are prepared under Nirav Shah, Chartered Valuation Surveyor (MRICS) and Certified Practising Valuer (Property and Plant & Machinery). Group heritage since 1954. We are not a lender and do not make or influence lending decisions.
Independent Valuation vs a Lender's Panel Valuation
When you apply for a loan, the lender usually orders its own valuation, often from a panel of valuers it has approved. That valuation is prepared for the lender, to assess its security, and the lender decides what form it takes, from a desktop assessment to a full inspection.
An independent valuation is ordered by you. It is not a substitute for the lender's valuation, and many lenders will still order their own. Policies differ, so ask your lender or broker before paying for one, and tell us who will see the report.
Before you order, it helps to gather the contract of sale or loan offer, the lender's valuation figure if you have it, and any recent sales evidence you know of. Passing relevant sales to your broker or lender is often the quickest way to ask for a review.
If Your Bank Valuation Is Too Low
Bank valuations can come in below the purchase price or your own expectations. Lenders often take a cautious approach, and some use a quick or automated assessment. An independent valuation sets out the comparable sales and reasoning, which you can discuss with your lender or broker.
The lender makes its own decision, so a report may support your case but cannot guarantee a different outcome. Other options include negotiating the price, adding a deposit or asking a broker about other lenders.
Commercial, Plant and Business Security
Lenders also take security over commercial and industrial property, development sites, plant and equipment, and business assets. These loans are often assessed on different evidence from a home loan, such as rental income, zoning, condition and the market for used equipment.
We can value the asset or assets offered as security and set out the basis and assumptions in the report. Tell us the asset list, the lender or broker involved and what the valuation is for, and we will confirm the scope and timeline.
When an Independent Finance Valuation Helps
An independent valuation is most useful when you are buying and the bank valuation is below the price, refinancing, reviewing the security for a loan, or want to understand what a lender relied on. It gives you the comparable sales and reasoning in a report you can discuss with your broker or lender.
- Commercial, industrial and development property
- Plant and equipment offered as security
- Business assets, where the structure allows
- Second opinions before you commit to a purchase
How a Monita Valuation Works
Free consultation
We talk through the purpose, the valuation date and what the report is for.
Scope and fee
You get a firm fee estimate and a delivery date before any work begins.
Valuation
We gather the evidence, inspect where needed and apply the method that suits the purpose.
Report
A clear report setting out the basis, the evidence and the reasoning, ready for your adviser, lender or auditor.
Bank Valuation FAQs
What is the difference between a bank valuation and an independent valuation?
A bank valuation is ordered by the lender, usually from its panel, to assess security for its own loan. An independent valuation is ordered by you and shows the evidence and reasoning behind the figure. They are prepared for different purposes and can differ.
How do banks value property?
Lenders order a valuation to check the property supports the loan. Depending on the loan, it may be a desktop assessment from sales data, an external-only inspection or a full inspection. Each lender sets its own approach, so ask your lender or broker how yours works.
How conservative are bank valuations?
Banks value property to manage their lending risk, so figures can be cautious, and some are based on limited inspection or automated models. Practice varies between lenders. A lower figure does not necessarily mean the market value is lower.
What if the bank valuation is lower than the purchase price?
You can ask the lender or your broker how the figure was reached. An independent valuation with full comparable sales evidence can inform that conversation, although the outcome stays with the lender. You may also need to renegotiate the price or contribute more.
Will a lender accept an independent valuation?
We cannot say, because each lender has its own policy and many order their own valuation. Ask your lender or broker before you commission one. Tell us who will receive the report so we can prepare it for that stated purpose.
Will an independent valuation change the bank's decision?
It may help your case, but the lender makes its own decision and the report cannot guarantee a different outcome. It is best used to understand the evidence and have an informed discussion with your lender or broker.
Can I choose the valuer for my loan?
Usually the lender chooses, often from a panel. Some lenders let brokers or borrowers arrange a valuation from an approved valuer, but this varies. Ask your lender or broker about their rules before engaging anyone.
Can you value plant and equipment for finance?
Yes. We value property, plant and equipment and business assets that are offered as security. Plant is assessed under a Certified Practising Valuer (Plant & Machinery). Send us an asset list and tell us who will receive the report.
Can an independent valuation help when refinancing?
It can help you understand the current value of your security before you approach a lender. The new lender will still decide whether to rely on it or order its own valuation. Check with your broker or lender first.
Do you value commercial and industrial property for finance?
Yes. We value commercial, industrial, rural and development property in Sydney and NSW. The scope depends on the asset and purpose, so tell us what the valuation is for and who will read it, and we will confirm the approach.
How long does an independent finance valuation take?
For property work the turnaround is typically 5 to 10 business days. For plant, business or more complex assets, we agree the timeline at the start, after hearing what is needed. Tell us early if a settlement or finance date is close.
Ready for a precise, independent valuation?
Connect with the Monita Asset Management team. All consultations are free of charge.
- Free initial consultation
- Fee confirmed before any work begins
- Certified Practising Valuer, Sydney CBD office