Drive-by and desktop property valuations becoming common
The Australian Prudential Regulation Authority said banks were increasingly making home loans on the basis of restricted property valuations. In some cases, banks are using cheaper, “drive-by” valuations with no internal inspection, or even a “desk-top” approach involving statistical analysis and comparative prices in the same suburb. The new valuation techniques save the costs of a traditional valuation involving a site visit. APRA found one fifth of bank property valuations were completed remotely.