VAS Panel has introduced a standalone Houses in Multiple Occupation (HMO) Short Form Report Template in order to build a consistent approach to HMO valuations.
The business has seen a significant increase in the number of valuation requests for HMOs, in particular small HMOs, over the past year.
In response, it has made strides to support a consistent reporting approach from valuers while making lenders specific reporting requirements clearer.
GOING FURTHER
The new HMO Report Form Report Template moves things along and covers areas such as whether the property is located in an established HMO vicinity, do all room sizes meet minimum requirements and clarification on planning status.
It also provides the valuer further opportunity to discuss area specific matters such as the supply of HMOs, what attracts tenants to the location and letting demand, among several other key sections.
“We are convinced that this new form will assist valuers and surveyors”
David Birch, valuation audit director for VAS Panel, part of the VAS Valuation Group, said: “The increased number of HMO valuation reports has coincided with a significant increase in post-valuation queries (PVQs), and this is because valuers are adopting different valuation methods.
“Small HMOs in particular are in the grey area of valuations, of which there are few sales, which is why we have spent the last few months creating an HMO Short Form Report Template to create clarity.
“We are convinced that this new form will assist valuers and surveyors, reduce the number of PVQs, improve audit results, reduce the number of reaudits, help derisk our clients’ lending decisions and ensure compliance with lenders’ valuation reporting requirements.”
