what is a red book valuation

A Red Book valuation is a formal opinion of value provided by a RICS Registered Valuer, who assesses a property and produces a formal report on its current market value. The Red Book is a publication issued by RICS that sets out the standards that valuers should follow. The term "Red Book valuation" is used to distinguish this type of formal valuation delivered by a RICS Registered Valuer from an informal free market appraisal of the kind that an estate agent would provide for marketing a residential property. A Red Book valuation is exceptionally accurate and unbiased, and it can be relied upon by the instructing party. A Red Book valuation might be needed in circumstances such as tax planning purposes, calculating probate or capital gains tax, transferring assets into a SIPP pension fund, properties being sold by charities, divorce proceedings, or other court proceedings. The valuation is generally valid for three months, but it can be extended in some circumstances. The cost of a Red Book valuation can vary, but it is possible to arrange one for as little as £150.