Welcome to Braithwaite Associates (UK) Limited.
This is now the standard European valuation basis. It replaces the earlier 'Open Market Value'. Market Value is defined by the International Valuation Standards Committee and is set out as PS 3.2 of the RICS Valuation Standards.
A Market Value Report can be used for commercial and residential properties. We produce short and “Red Book” valuations for private and corporate clients. A Market Value Report can be used where the value of a property needs to be formally and fairly established, for example, where one beneficiary wishes to buy out another's share of a bequeathed property. It might also be used to establish equity for loan security purposes, or to exercise an option to purchase, or in connection with a funded re-location, or a part exchange, or Right to Buy, or for Stamp Duty Land Tax (SDLT) - although a slightly different definition is used for this.
They can be individually addressed or jointly addressed (for example, a Matrimonial Valuation) or produced for a Court in compliance with CPR (Civil Procedure Rules).
These are formal valuations utilised in settling disputes over the former matrimonial home and other property assets. Nowadays it is usual for these reports to be jointly instructed by the parties or their solicitors and we can act as an Expert in preparing the valuation in accordance with Part 35 of the Civil Procedure Rules and RICS Practice.
These are really Valuations for Inheritance Tax (IHT). They are formal valuations and are prepared in accordance with UKGN 3 of the RICS Valuation Standards. The normal definition of Market Value is not used and there is an important differentiation from 'normal' market value concerning the issue of 'special purchaser'.
These are again formal valuations. They are frequently retrospective and date back to the point of acquisition or transfer. UKGN 3 again applies but the valuation basis is found in S.272 Taxation of Chargeable Gains Act 1992. These are often complex instructions with several capital gains tax valuation dates. There may have been changed physical conditions and occupancy circumstances at those dates.
This is the amount a property should be insured for. It is calculated from floor area, constructional type and a range of other factors. It represents the cost of clearing the ruins following a total loss and then re-designing and rebuilding the property. It is entirely unrelated to Market Value or purchase price - it can be higher or lower. It is vital that this figure is regularly updated. If you rely on annual RPI increases you could find yourself significantly underinsured.