Quest has launched an anti-fraud tool designed to help quickly uncover suspiciously high valuations.
Based on trials and discussions with key industry figures, Q-Price Alert will work alongside Quest’s existing fraud detection software to enable surveyors and lenders to identify any potential surveys or mortgage applications where a valuation figure seems too high.
It works by using land registry data to raise a ‘red flag’ on the instruction where the purchase price exceeds 15% of the estimated current value, as calculated by Quest’s price comparable system.
The ECV is then forwarded onto the head office audit function so that attention can be given to unusual cases, or particular individuals or areas where there are above-average valuations.
Lenders also have access to the audit data, which may include details of brokers, estate agents and surveyors involved, as well as applicants’ telephone numbers.
Tom Parker, Quest’s managing director, says: “Any potential over-valuations are instantly identified and highlighted as a risk, before the application is sent for processing.
“We will continue to working closely with the industry to deliver intelligent systems that will deter many would-be fraudsters.”