Loan valuations

A lender will normally require a loan valuation prior to lending on a particular property purchase to
ensure that the value of the asset meets the security and equity criteria of the loan contract. The
lender will normally appoint a suitably qualified surveyor. In the case of a surveyor that is a member
of the Royal Institution of Chartered Surveyors (RICS), it is mandatory for the member to prepare the
loan valuation in accordance with the RICS Appraisal and Valuation Manual. This publication sets out
various practice statements and guidance notes that should be adopted by the surveyor to ensure
consistency of approach and quality assurances for the lender.