Client choice of Valuation Method

Once logged-in to their dashboard of investments, clients can select/toggle between two methods of property valuation:

Every March, we commission independent valuations for all properties in our portfolio from Allsop, a market-leading, RICS-approved surveyor.

For residential properties, Allsop reports two valuation methods, both of which are disclosed in their reports on our site for each property:

• Vacant Possession Value (VPV): assumes each unit within a residential block is sold individually, with vacant possession (i.e. no tenant in place). 
• Investment Value (IV): assumes a block of residential units is sold in a single transaction, to a single investor; these transactions attract a discount to VPV, because owner-occupiers are excluded and investors seek discounts for buying in bulk.

VPV is typically 10-15% higher than IV.

Since inception, we have shown clients' returns based on IV for almost all residential properties and that remains a prudent basis of valuation.

However, now that we are selling units individually with vacant possession, VPV is a highly relevant method for clients to understand the value of their investments.

Student and Commercial properties within the portfolio do not have a VPV, as they cannot be sold as individual units.

Please note, we will continue to charge our AUM fee based on the lower Investment Value. 

How to view your portfolio valuations:

1. Login to your dashboard
2. Toggle between these two valuations 
3. View your portfolio performance for each of these valuation methods