All Topics / Help Needed! / Sleepouts – do banks class them as bedrooms?

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  • Profile photo of goldiesgoldies
    Member
    @goldies
    Join Date: 2010
    Post Count: 115
    May 2, 2011 - 11:59 pm

    Hi all,

    Need some help everyone.

    Does anyone know if banks class 'sleepouts' as bedrooms when they value a property?

    Is there a standard rule or does each valuer have a different opinion?

    Agent is advertising the property as a 4 bedder, but it has 2 beds and 2 sleepouts…

    Help appreciated.

    Thanks!

    Profile photo of Kent CliffeKent Cliffe
    Participant
    @kent-cliffe
    Join Date: 2011
    Post Count: 110
    May 3, 2011 - 1:58 am

    The banks don't do any classing, that is up to the valuer. In terms of bank application, it is up to you to fill it in as truthfully as you can. In grey areas, you should talk to your broker.  On the valuation side, they should take the sleep outs into account as these will effect the price. What you need to know is the impact these sleep outs will have on price (I don’t want to state the obvious but it means the price should be more then 2 bedder, but less then a 4 bedder with proper construction).

    You need to look to comparable sales with sleep outs. This can be hard as RP Data doesn’t normally disclose this. But a good tool you can use is:http://www.nearmap.com.au This will allow you to see changes in roof, indicating an addition and then correlating the address to the sale price on RP Data.  

    There is no easy way, I hope this helps.

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