Help to Buy Valuation in Gruna Stack, Shetland Islands

A Help to Buy valuation is a specific type of property survey and valuation required by the Scottish Government when you apply for a Help to Buy equity loan. The valuation must be carried out by a RICS (Royal Institution of Chartered Surveyors) registered valuer who is also on the Help to Buy Scotland register of valuers. This is not the same as a standard mortgage valuation or a Home Report condition report. Our team meets both of these requirements, ensuring your valuation is valid for submission with your application.

The purpose of the Help to Buy valuation is to determine the open market value of the property at the time of purchase. This value is used by the Scottish Government to calculate the size of the equity loan they will provide. For example, if you are purchasing a property for £200,000 and the Help to Buy equity loan is 15% of the purchase price, the Scottish Government would provide a loan of £30,000. Understanding this calculation is important for budgeting your overall purchase costs.

Our valuers will inspect the property, assess its condition, compare it with similar properties that have sold in the area, and provide a formal valuation report that meets the specific requirements of Help to Buy Scotland. The valuation report includes detailed photographs, floor plans, and a comprehensive analysis of the property's value. We take account of local market conditions specific to Shetland, including the limited supply of properties and the impact of island connectivity on values.

The Help to Buy (Scotland) Affordable Home Buy Scheme closed to new applications in 2019, but the Help to Buy (Scotland) New Build scheme continues to operate for first-time buyers purchasing new build properties. If you are applying for a new build property through Help to Buy Scotland, you will need a valuation carried out by a registered valuer to determine the purchase price and the equity loan amount. The new build scheme remains popular with first-time buyers looking to get onto the property ladder in Shetland.

It is important to note that the Scottish Government's Help to Buy schemes have specific eligibility criteria. You must be a first-time buyer (or have not owned property within the last 12 months), you must be purchasing a new build property from a registered Help to Buy developer, and you must be able to provide a minimum 5% deposit. The Scottish Government provides an equity loan of up to 15% of the property purchase price, and you will need a mortgage for the remaining amount. Our valuers can explain how these percentages apply to your specific property purchase.

Our valuers are familiar with the new build developments that exist in and around Lerwick and other parts of Shetland. While the selection of new build properties in the islands is more limited than on the mainland, we have experience valuing properties across all price ranges and property types, from modern detached houses to traditional stone cottages. We understand the construction methods typical of Shetland properties, including traditional vernacular building styles suited to the island climate.

The Shetland Islands property market has its own unique characteristics that affect property valuations. Compared to the Scottish mainland, the market is relatively small with limited stock available at any given time. Average property prices in Shetland are generally lower than the Scottish national average, but this is offset by higher travel and logistics costs for goods and services. The average time on market for properties in Shetland is around 145 days, reflecting the more measured pace of the island property market.

Lerwick, as the main town and administrative centre, has the highest property prices in the islands. Properties here benefit from better infrastructure, more amenities, and easier transport connections to the mainland. Scalloway, the former capital of Shetland, also has a strong local market with good primary schools and local services. More remote areas and the outlying islands typically have lower property prices but may appeal to buyers seeking a quieter lifestyle or those with connections to specific island communities.

New build activity in Shetland has been limited in recent years, with most development focused on small-scale housing developments and individual self-build projects. The availability of new build properties through the Help to Buy Scotland scheme may be restricted compared to mainland locations. However, the Shetland Islands Council has ongoing initiatives to encourage housing development, and there are opportunities for buyers interested in new properties. Our valuers stay informed about new developments throughout the islands.