Probate can often be a difficult and confusing time, especially when dealing with the deceased’s estate. Estate agents offer an easy solution for valuing the estate’s property, but do estate agents charge and can you use this for probate?
Estate agents generally do not charge for an informal probate valuation. However, an estate agent’s valuation is an estimate based on similar sales of properties in the area. For probate, it’s best to get a professional valuation from an RICS Surveyor so that it can be accepted by HMRC.
Read on to find out more about why estate agents provide free valuations, when they can be used for probate, and more.
Do Estate Agents Do Free Valuations for Probate?
Estate agents will generally not charge a fee to complete an informal probate valuation, particularly if you’re paying for the agency’s services. You can talk to most estate agents for free and get a general idea of the market value of the property.
However, some estate agents will charge a small fee, usually a percentage of the property’s value. This is usually below 1% of the market value.
Can I Use an Estate Agent Probate Valuation for Probate?
The valuation that an estate agent is able to provide is informal and usually provided by comparing similar properties that have been sold in the area. This is normally completed without visiting the property and accuracy can vary as a result.
This can be used to get a general idea of the property’s market value, which can be used for probate in cases where the overall value of the entire estate is below £250,000. For estates worth more than this amount, you will need to gain a specialist valuation from an RICS-registered Surveyor.
In cases where the property is worth over £250,000, a surveyor will come to the property and complete an in-depth, accurate valuation of the property that HRMC can accept to calculate inheritance tax.
Even if the estate is valued below the £250,000 threshold, you may want to get a more accurate valuation from a surveyor to ensure that you can prove that the valuation of the property is accurate. This can help you avoid any tax issues in future.
For more guidance on whether you should get a professional valuation for probate, read our blog: Do I Need an Official House Valuation for Probate in the UK?
Why Do Estate Agents Offer Free Valuations?
Free valuations are a big part of an estate agent’s marketing funnel. Most people will get around 3 valuations from different estate agents, but the vast majority of those will end up selling with one of the agents that gave them a valuation.
This means that estate agents can spend a small amount of time creating an informal valuation for around 10-25% of them turning into house sales (and commission).
One concern for the homeowner here is that some estate agents might inflate the property’s value to get the owner excited about selling and influence them to choose that agency. For probate valuations, this can cause a big issue since tax is involved.
For information on how much a specialist valuation will cost, you can use our House Survey Cost Calculator.
RICS-Registered Surveyors In London & The Home Counties
Crest Surveyors are trusted RICS Surveyors that provide a range of survey and valuation services, including Property Probate Valuations. We cover a large area spanning London, the Home Counties, and the South East of England.
Our expert surveyors will provide you with an accurate probate valuation that can be submitted to HMRC as part of probate. We don’t use any technical jargon in our reports and will ensure that you understand every aspect, setting you up for an easier probate process during an often difficult time.
Get in touch with a member of our team to discuss your requirements today.