The difference
What’s the difference between an appraisal and a valuation?
An appraisal is a real estate agent’s estimate of what your property would sell for. A valuation is a registered valuer’s formal, independent assessment of its market value that banks, courts and the tax office can rely on.
| Agent appraisal | Formal valuation | Bank valuation | |
|---|---|---|---|
| Who does it | A real estate agent | A registered valuer | A valuer on your lender’s panel |
| Who it is for | You, as a seller | You, a court, the ATO or an executor | The lender |
| Cost | Free | Quoted by the valuer | Arranged by the lender |
| Gives you | A likely sale price range and selling advice | A formal report on market value at a date | A security value for the loan |
| Can others rely on it? | No | Yes | The lender relies on it |
Who does each?
Any licensed real estate agent can give you an appraisal. In Queensland, only a person registered with the Valuers Registration Board of Queensland can work as a valuer. The board keeps a public register you can search by name.
What do they cost?
An agent’s appraisal is free, because the agent hopes to win the listing. A formal valuation is a paid professional service. The fee depends on the property type and size, how complex it is, the purpose of the report and how quickly you need it.
Bank valuations are ordered by the lender. Some lenders pass the cost on to the borrower and some don’t, so ask yours.
When do you need a formal valuation?
- A deceased estate, probate or transfer between family members
- Family law and property settlements
- Capital gains tax, stamp duty or other tax purposes
- Disputes, insurance or compulsory acquisition
- Self-managed super fund reporting, in many cases (see SMSF properties)
If you are only selling, you don’t need one. An appraisal from an agent who sells in your suburb is the better guide to price. This is general information, not legal or tax advice.
Why can bank valuations come in lower?
A bank valuation protects the lender, so it is usually conservative. The valuer relies on settled sales, which can lag a moving market, and doesn’t count what one keen buyer might pay. When the market softens, the gap can widen. The overall median asking price was steady, down 0.1% on about 30 days earlier. (Spachus, Cairns Property Market, November 2026)
If a bank valuation comes in low, ask your lender whether it will review it with extra sales evidence.
Last updated 3 November 2026
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More questions
Can I use an agent’s appraisal for the bank?
Usually not. Lenders order their own valuation from a valuer on their panel. An appraisal can help you understand the likely value before you apply.
How do I check a valuer is registered?
Search the public register on the Valuers Registration Board of Queensland website.