Valuations impact brokers and lenders

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RICHARD SEXTON BUSINESS DEVELOPMENT DIRECTOR E.SURV

The Council of Mortgage Lenders’ annual conference on valuation practice was held last month and it’s pleasing to see it has become a regular feature of the calendar.

The day had a range of sessions covering many of the pressing issues facing the valuation industry and the customers it services.

In previous years, while the event has been filled with people from the valuation provider industry and a number of representatives from lenders, I was a little disappointed that not every lender had representatives present and I don’t recall ever seeing a representative from an intermediary organisation.

Valuations and valuation policy have never been more relevant while we arguably remain at a high point in the risk cycle, with further house price falls a possibility.

For lenders, valuations are central to the underwriting decision and for brokers they have a direct impact on their business model and the aspirations of customers who we have a duty of care towards.

To recycle an oft-quoted line – valuation is an art form, not a science.

Valuers are keen to understand and service the needs of their patrons and the opportunities to share and exchange information in this regard should be valued.

The long-term alternative does not bear thinking about – a commoditised industry that adds less and less value for its customers.