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Valuation Report
HomeLoan DocumentationValuation Report
Valuation Report
A Valuation Report is an official document prepared by a registered valuer that states the current market value of an asset (property, machinery, shares, business, etc.).
- It is widely used in loan sanctioning, property sales, mergers, acquisitions, taxation, and legal disputes.
- Banks and financial institutions require valuation reports to ensure the asset is worth the loan amount being sanctioned.
In short: It is a professional certificate of value, backed by calculations, market data, and legal compliance.
1. Property Valuation Report
- For land, houses, flats, commercial properties.
- Used in property purchase/sale, loans, taxation.
2. Plant & Machinery Valuation Report
- or equipment, factory machines, vehicles.
- sed for insurance, asset financing, auctions.
3. Business Valuation Report
- Estimates the worth of a business (assets, liabilities, goodwill).
- Used in mergers, acquisitions, and investment decisions.
4. Share Valuation Report
- For determining the fair value of company shares.
- Used in IPOs, private placements, ESOPs, and legal disputes.
5. Jewellery/Gold/Asset Valuation Report
- Used in gold loans, insurance claims, and wealth declarations.
6. Financial Valuation Report
- Covers balance sheet assets & liabilities.
- Useful for restructuring, insolvency, or taxation.
For Property Valuation
- Property Title Deed / Sale Deed / Gift Deed.
- Encumbrance Certificate (EC).
- Approved building plan / layout.
- Tax paid receipts (property tax, water tax, etc.).
- Utility bills (electricity/phone for address proof).
- Identity proof of owner (Aadhaar, PAN, Voter ID).
For Business Valuation
- Company PAN, CIN (Corporate ID).
- Memorandum & Articles of Association (MoA & AoA).
- Audited financials (last 3-5 years).
- Details of assets, liabilities, shareholding.
- Bank statements.
For Machinery/Assets
- Purchase invoices.
- Asset register details.
- Insurance papers.
- Depreciation schedule.
- Individuals - Applying for property loan, gold loan, or selling/buying property.
- Businesses/Companies - For mergers, expansions, restructuring, loan against assets.
- Banks/NBFCs - To assess collateral value before sanctioning a loan.
- Government Agencies - For land acquisition, compensation, and taxation.
- Investors - To know fair value of a company/share before investing.
- For Loan Sanctioning
Banks ensure collateral (property/machinery/shares) has enough value before lending.
- For Buyers & Sellers
Helps determine fair market price and avoid disputes.
- For Legal & Tax Compliance
Required in wealth tax filings, property registration, insolvency, and court cases.
- For Business Decisions
Assists in mergers, acquisitions, and investor negotiations.
- For Insurance
Ensures correct value of assets for coverage & claims.
- Transparency & Credibility
A certified report from a government-registered valuer adds authenticity & legal backing.
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