Self-Managed Super Fund (SMSF) Valuations Perth

Why Self-Managed Super Fund Property Valuations Perth

PWE Property Consultants & Valuers provides independent SMSF property valuations throughout Perth and surrounding areas. We value residential, commercial and industrial properties held in self-managed super funds for financial reporting and audit purposes.

Our valuers each have over 25 years’ valuation experience and have been preparing SMSF property valuation reports for many years. We know what is required. Our reports are prepared in the appropriate format for the agreed purpose, with supporting market evidence and a clear explanation of the assessed value.

Whether you are arranging a valuation yourself or through your accountant or auditor, we confirm the required valuation date and reporting requirements before proceeding.

Residential, Commercial, Retail and Industrial

We provide self-managed super fund valuations for residential investment properties, including houses, units and apartments, as well as offices, retail premises, warehouses and industrial properties. See also our commercial and industrial valuations.

Each valuation considers the property’s location, land and building areas, condition and relevant sales evidence. Where the property is leased, we also consider the tenancy arrangements and rental income.

Current and Retrospective SMSF Valuations

We prepare current market valuations and retrospective property valuations as at a specified date, including 30 June assessments for end-of-financial-year reporting.

If your accountant or auditor has requested a valuation for an earlier financial year, we can assess the property’s market value at that date using relevant historical market evidence.

Our reports set out the property details, valuation methodology, comparable evidence and adopted market value, providing a documented basis for your fund’s financial reporting.

Market Rental Assessments

We also provide market rental valuations for properties held in self-managed super funds, including commercial premises leased to a related business. See our rental determinations and rent reviews page.

Our assessments consider the lease terms, outgoings and comparable rental evidence to establish an appropriate market rent. This helps you and your advisers assess whether the rent paid to the fund reflects market conditions.

Experienced Perth Property Valuers

With over 25 years’ valuation experience each, our valuers bring practical knowledge of the Perth property market and the reporting requirements associated with SMSF valuations.

You can contact us directly to arrange your valuation. We also work with accountants and auditors requesting property valuations on behalf of their clients. Where a fund property is also relevant to a capital gains tax or stamp duty matter, we can address both in the one engagement.

Frequently Asked Questions

Does my SMSF property need to be valued every year?

Yes. ATO guidance states that trustees must value all fund assets at market value when preparing the fund’s financial accounts and statements, with assets valued as at 30 June each year. The ATO does not require an external valuation by an independent valuer every year, but it does require that the valuation be based on objective and supportable data. It also notes that an external valuation may be prudent where the previous valuation is no longer reliable or a significant event has occurred since it was made.

Does the ATO require an independent valuer for SMSF property?

Not in every case. The ATO’s guidance states that trustees should consider using a qualified independent valuer where the property represents a significant proportion of the fund’s value, or where the valuation is likely to be complex. A qualified independent valuer should also be considered when a fund acquires business real property from a related party, because the acquisition must be at market value. In practice, many trustees and their accountants choose an independent valuation each year because it gives the auditor clear, documented evidence of market value.

What evidence will the SMSF auditor accept?

The ATO lists acceptable evidence as including comparable sales, a recent arm’s length purchase price, an independent appraisal and details of improvements since the last valuation. It also states that it is generally not sufficient for a valuation to be based on only one item of evidence, and that where an online report or agent appraisal is the only evidence, it should list the comparable sales it relied on. The ATO is clear that the auditor’s role is not to value the fund’s assets or to determine their market value; the auditor checks that the trustees’ valuation is appropriate and supported. An independent valuation report that sets out the comparable sales and the valuer’s reasoning addresses these requirements directly.

What does “market value” mean for an SMSF?

The ATO defines market value as the amount that a willing buyer of the asset could reasonably be expected to pay to acquire it from a willing seller, assuming the buyer and seller deal with each other at arm’s length, the sale occurs after proper marketing of the asset, and both parties act knowledgeably and prudently. Our valuations are prepared on this basis.

Do I need a market rent assessment for a property leased to a related party?

Where a fund owns business real property that is leased to a related party (for example, the member’s own business), the lease must be on arm’s length terms, including rent at a market rate. Auditors commonly ask for independent evidence that the rent being paid is consistent with the market. We can assess market value and market rent in the same engagement, so the fund has both figures supported by current Perth evidence.

What is the valuation date for an SMSF valuation?

For the annual accounts, the valuation date is normally 30 June. Where a pension commences, the ATO states that assets supporting the pension are valued at the pension start date or on 1 July. Valuations may also be required at other dates, for example when property is acquired from or transferred to a related party, or when a member leaves the fund. Tell us the date your accountant or auditor needs and we will value the property as at that date.

What We Need to Quote

For a fee proposal, please provide the property address, required valuation date and any specific requirements from your accountant or auditor. For leased properties, a copy of the current lease or tenancy details will also assist.

How We Quote

Every property is different, so we don’t publish set fees. Send us the address and the valuation date your accountant or auditor needs, and we’ll come back with a fixed quote. There’s no charge for a quote, and the fee is confirmed in writing before any work starts. If you have a deadline, let us know and we’ll tell you up front whether we can meet it.

Contact PWE Property Consultants & Valuers at admin@pweproperty.com.au or submit an enquiry through our website.

Contact us directly to discuss your SMSF valuation requirements.

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