Can You Borrow Without a Full Valuation? Desktop, Kerbside and AVM
Property Lending
Desktop valuation · Kerbside valuation · No-valuation loans
A lender may be able to assess property security without sending a valuer inside. This guide explains what a no-valuation loan really means, who chooses between an AVM, desktop, kerbside and full valuation, what happens when the shortcut fails, how a lower figure changes borrowing power, and what to do next when a deadline is already running.
Quick Answer
Yes, you can sometimes borrow against property without a full valuation. It usually means the lender skips the physical inspection and relies on an AVM, desktop or kerbside assessment. In the private-lending files we see, some business lenders do not commission a third-party valuation at all and make their own security assessment instead. Either way, the lender still forms a view of the property value. The trade-off is usually a more conservative loan amount, and unusual, regional, specialised or higher-risk security is more likely to require a full valuation. If time is the pressure, start with the funding deadline and the security position, not just the request to avoid a valuer.
Also called: no-valuation loan, no-val loan or desktop valuation loan. A desktop valuation is also sold as a desktop assessment, indicative valuation, remote valuation, electronic valuation, hybrid valuation or valuer-assisted AVM. A kerbside valuation is also called a drive-by or curbside valuation. A "no-valuation" loan can mean either no physical inspection or no third-party valuation report. It never means the lender ignores property value: the lender still needs a basis for deciding how much security it has.
| Your situation | What usually happens | Start with |
|---|---|---|
| You need funds by a fixed date | A desktop or kerbside figure can remove the inspection step, but the title, any first-lender consent and your documents set the date | What to send first |
| Your bank valuation came in low | Your options are more equity, a review with better comparable sales, or a lender with a different valuer panel | Valuation shortfall options |
| Your property is rural, specialised or recently renovated | A full valuation is usually ordered anyway, so ordering it at the start is often faster | What forces a full valuation |
| You want the largest loan possible | Skipping the valuer usually lowers the cap; a full valuation usually supports more | Why you borrow less |
| You have an online estimate or agent appraisal | Neither is the figure a lender lends against; the lender orders its own | Valuation types compared |
What does a no-valuation loan actually mean?
It does not mean the lender ignores the property value. In practice, "no valuation" is used in two different ways: the lender may skip the physical inspection and rely on an AVM, desktop or kerbside assessment, or a business lender may decide not to commission a third-party valuation report and instead make its own security assessment from the title, property information, market data and the overall deal.
That distinction matters because borrowers often search for "no valuation loan" when the real problem is one of four things: they have a fixed settlement date, they do not want to pay for a full valuation, the bank valuation has already come in low, or they are worried the property is unusual enough to slow the deal. The right solution depends on which problem you are actually trying to remove.
| What the lender does | What is skipped | What still happens |
|---|---|---|
| Uses an AVM | No valuer inspection | A model estimates value from property and sales data |
| Uses a desktop report | No physical inspection by the valuer | A valuer forms an indicative value from available information |
| Uses a kerbside assessment | No internal inspection | A valuer observes the property externally and uses market evidence |
| No third-party valuation report | No external valuation is commissioned | The lender still makes its own decision about security value and acceptable leverage |
The practical question is therefore not "will anyone value the property?" It is what evidence will this lender accept to support the value, and how much will it lend against that evidence?
What valuation types do lenders use, and what does each one miss?
Lenders work with five valuation types, and only the full valuation puts a valuer inside the property. The other four trade certainty for speed: a restricted assessment to an agreed scope, a kerbside look from the street, a desktop figure from data, and an automated model with no valuer at all. An agent appraisal is often mistaken for a sixth, but it is not a valuation. Knowing what a valuation is in a lender's terms, and what each shortcut leaves out, tells you how much weight a lender will put on the number.
For banks, APRA's residential lending guidance says desk-top assessments, kerb-side assessments, automated valuation methods and reviews of contracts of sale "are all acceptable valuation assessments, in the appropriate context" (APRA, APG 223, effective 19 June 2025, read 30 September 2026). That is guidance for banks and other ADIs; private lenders are not bound by it and set their own valuation rules.
These shortcuts are now routine. CoreLogic data reported in broker trade press put desktop valuations at 21% and automated valuations at 28% of the valuations it processed, with refinances the leading reason for a valuation request (Broker Daily, Digital valuations rise 33% in 4 years, 6 September 2023, read 2 October 2026; a data provider's figures for its own platform, mostly bank home lending).
| Type | Inspection | Who produces it | What it misses | Where lenders commonly use it |
|---|---|---|---|---|
| Full inspection valuation | Internal and external inspection of any improvements by the valuer | A certified valuer | The least of any type, because the valuer inspects inside and out | Higher-risk, larger or unusual security |
| Short-form or restricted assessment | Limited, to an agreed scope | A valuer | The items outside the agreed scope | Lower-risk residential lending |
| Kerbside (drive-by, curbside) | External only, from the street | A valuer | Interior condition, renovations and defects | Lower-risk, standard property |
| Desktop | None | A valuer, giving an indicative value | Anything not in the data | Low-risk loans with a wide equity buffer |
| Automated valuation model (AVM) | None | A statistical model, not a valuer | Renovations, condition and unique features | Screening and low-risk bank lending |
| Agent appraisal | Usually a walk-through | A real estate agent; not a valuation | An independent basis for the value | A starting point for the conversation only |
Sources: APRA, APG 223 Residential Mortgage Lending, effective 19 June 2025, read 30 September 2026 (bank guidance, AVM and desktop rows); Australian Property Institute, Standards Series No. 4, Desktop process is, published 3 November 2025, read 2 October 2026 (desktop row); Australian Property Institute, Residential Valuation Standing Instructions version 4.1, effective 4 December 2023, read 30 September 2026 (full inspection row; residential instructions used on lender panels, commercial instructions differ). The where-used column is indicative, from our broking, and varies by lender.
An agent appraisal is not a valuation, however detailed it looks. For what a full report on a commercial property actually covers, see what a full commercial valuation tests.
Who decides whether the lender uses an AVM, desktop, kerbside or full valuation?
The lender normally decides which valuation method it will accept. You can ask for a desktop or a full valuation, but the lender's credit and valuation policy determines whether an AVM is enough, whether a valuer must review the property remotely, or whether an inspection is required.
APRA's residential mortgage guidance expects banks to have a hierarchy of acceptable valuation methods appropriate to the risk. It recognises desktop assessments, kerbside assessments, AVMs and reviews of contracts of sale as acceptable in the right context, with more specialist valuation needed as collateral risk rises or coverage falls. That guidance applies to ADIs, not private lenders, but the risk logic is useful: the closer the loan gets to the lender's limit, or the harder the property is to understand from data, the more likely the file is to escalate.
The lender starts with the least intensive method its policy allows. If the model cannot produce a reliable result, the property falls outside policy, the value is too high or unusual, the LVR is too tight, or the transaction itself raises questions, the lender can move to a desktop, kerbside or full valuation. The borrower usually cannot force the lender to stay with the cheaper or faster method.
If your deadline depends on avoiding an inspection, ask the lender or broker which valuation method is actually approved for your property and loan size before you commit to a settlement date.
Is a desktop valuation a real valuation?
A desktop valuation is not a full valuation: a valuer works from sales data and property records without inspecting, and the result is an indicative value rather than an opinion of market value. Many lender guides describe a desktop as "a valuer or an automated model". That blurs the line that matters: a desktop is signed by a certified valuer, while a pure AVM has no valuer at all. The Australian Property Institute does count electronic valuations, hybrid valuations and valuer-assisted AVMs as desktop reports, because a valuer stands behind them.
The API defines an indicative value as a qualified opinion given where the valuer's scope is limited, so the valuer does not complete all the enquiries a valuation requires. A desktop report must disclose that the valuer did not inspect, and the API says a desktop carries a greater likely variation than a valuation where the valuer inspects. Only API members holding CPV, CPV (Residential) or RPV certification may undertake one, and they need market experience from inspected valuations of similar property in the same area first (Australian Property Institute, Standards Series No. 4, Desktop process is, published 3 November 2025, read 2 October 2026). That is the professional body's definition; a lender may still call it a valuation in its own documents.
Lenders accept it anyway because the figure only has to be good enough for the risk they are taking. When the loan to value ratio is low, a small error in the value rarely changes whether the loan is covered, which is what APRA means by acceptable "in the appropriate context". A consumer-facing online estimate is different again: it may be useful evidence, but it is not normally the lender's accepted security valuation. The lender may run its own AVM using similar data, or require a valuer-led method instead. The same logic sits behind how a no-valuation caveat loan is assessed.
When will a lender skip the full valuation, and what forces one anyway?
A lender skips the valuer when the equity buffer does the work a valuation would. The wider the gap between the loan and a conservative value, the less a lender needs a precise number, which is why a reduced valuation usually comes with a lower cap on how much you can borrow than a bank would offer against a full report. The patterns look like this:
Usually accepted without a full valuation
- A wide equity buffer
- Standard residential or simple commercial security in a well-traded area
- A short term with a documented exit
- Clean title with a long ownership history
Usually forces a full valuation
- Regional, rural, specialised or leasehold security
- A loan near the lender's cap
- A larger loan amount
- A recent related-party transfer or messy title
- An exit that depends on an unverified future event
APRA puts the principle plainly for banks: "As the risk associated with collateral increases, or the coverage of a given loan by collateral decreases, the need for specialist valuation also increases" (APG 223, read 30 September 2026; bank guidance, which private lenders mirror in their own way rather than by rule). If you need a fast caveat loan, the question is less whether a valuer will be sent and more whether your file sits on the left-hand card. The first things a lender checks are set out in what a caveat lender checks first.
The property type matters because a remote valuation is only as good as the evidence available without an inspection. Standard property in a well-traded market is easier to assess remotely. The more the value depends on condition, income, planning, lease terms, development assumptions or thin comparable sales, the more likely the lender is to ask for a specialist or full valuation.
| Property or security | Remote valuation fit | Why the shortcut can fail | What commonly happens next |
|---|---|---|---|
| Standard metro house or unit | Often the easiest fit | Usually has deeper comparable-sales data and standard attributes | An AVM or desktop may be enough where lender policy, LVR and loan size allow |
| High-density apartment | Case by case | Building concentration, unit type, floor, outlook and same-building sales can matter | A lender may move from AVM to desktop or full valuation |
| Recently renovated or newly built property | Case by case | Data may not reflect the current improvements, finish or completed condition | A full inspection becomes more useful where the new value depends on what was built |
| Commercial or industrial property | Case by case | Lease income, tenant quality, zoning, use and asset-specific features can drive value | A desktop may work on simple security, but larger or more specialised assets often need a full report |
| Rural, acreage or farm property | Usually harder | Comparable sales can be thin and land quality, water, improvements and use differ materially | A full or specialist rural valuation is more likely |
| Vacant land | Usually harder | Planning, services, access, site constraints and permitted use can materially affect value | The lender may require a valuer to investigate the site and planning position |
| Development site | Low fit for a simple AVM | Value can depend on approvals, feasibility, highest and best use and development assumptions | A specialist development valuation is commonly more appropriate |
| Mixed-use or leasehold property | Usually harder | Different uses or tenure terms affect value and marketability | A specialist or full valuation is more likely |
How to read this table: it is an indicative risk map from our broking experience, not a lender policy matrix. A lender can still require a full valuation on a standard property or accept a reduced method on a more complex property where its policy and risk settings allow. APRA's residential guidance supports the underlying principle that the valuation method should become more specialist as collateral risk rises or collateral coverage falls.
A $250,000 caveat loan sits behind a $500,000 first mortgage on a property with a desktop figure of $2,000,000. The combined loan to value ratio, both loans against the value, is 37.5%. If the real value is 15% lower, at $1,700,000, the combined ratio rises to about 44% and the loan is still well covered. Put the same caveat behind $1,050,000 of existing debt and it starts at 65% combined; the same 15% error takes it to about 76%, which is why a lender at that level sends a valuer.
From our broking desk: what usually happens when a borrower asks to skip the valuer
In our experience, the request to skip the valuer is usually settled by the file around it, not by the valuation itself. What we see most often:
- On larger loans, most private lenders we deal with still want a valuer to inspect, even when a desktop figure looks comfortable.
- Regional, rural, specialised and leasehold security usually goes to a full valuation from the start; asking for no valuation there tends to add time rather than save it.
- An online estimate or agent appraisal the borrower brings is a starting point for the conversation, not the number the lender lends against.
- The fastest files arrive with the title, rates notice, existing loan statement and exit evidence at the start. We give no settlement timeframe until we have seen the title, any first-lender consent and the exit; those, not the valuation, usually set the date.
Basis: Switchboard broking files and panel records, as at September 2026. A general observation, not a quote, an offer or an indication that any application will be approved. Every lender's policy differs and changes; this is a pattern from our files, not a prediction for your deal.
A builder trading through a company needs funds within the week against a metro investment property with a small existing loan. The lender accepts a desktop figure at a conservative loan to value ratio. The loan is smaller than a full valuation might have allowed, but it settles on time because the title, the first-lender position and the exit letter were ready from the start.
Can a purchase price or an existing valuation replace a new valuation?
Sometimes, but the lender has to be able and willing to rely on the evidence. APRA's residential guidance recognises reviews of contracts of sale as an acceptable valuation assessment in the appropriate context, so an ordinary arm's-length purchase may sometimes be assessed from the contract and supporting data instead of a new inspection. A refinance or equity release has no fresh sale price, so the lender usually needs another basis for value.
A valuation you already paid for is not automatically portable. The report was prepared for a particular client, purpose, date and set of instructions. Paying for the valuation does not necessarily give you the right to make another lender rely on it. The new lender may require the original valuer to re-address or assign the report, issue a reliance letter, update the report, or start again.
The Australian Property Institute's member guidance on assigning valuations says that, as a general rule, a valuation report should not be assigned at all. Where a valuer does assign one, the original client's written consent is required first, the valuer must be satisfied the assignment is professionally and contractually permissible, and the valuer may refuse the assignment. Its guidance also sets a 90-day limit from the original inspection for an assigned report (API, API/APIV Member Alert: Assigning Valuations, effective 20 March 2019, read 2 October 2026). That is professional guidance for valuers, not a promise that a lender will accept the reassigned report.
| Evidence you have | Can it help? | What still has to happen |
|---|---|---|
| Signed arm's-length purchase contract | Yes, sometimes | The lender decides whether a contract review is enough for its risk, LVR and property policy |
| Recent valuation ordered by another lender | Potentially | The new lender and valuer must agree on reliance, assignment, re-addressing or a new report |
| Valuation you commissioned yourself | Useful evidence, but not automatically bankable | The lender may still require its own panel valuer or instructions |
| Agent appraisal | Useful as an indication | It is not normally the lender's security valuation |
| Council or statutory value | Background evidence | The valuation basis may differ from mortgage-security value |
| Online property estimate | Useful starting point | The lender may run its own AVM or require a valuer-led method |
Send this before paying for another report
- The complete recent valuation, not just the front-page number
- The signed contract of sale if there is one
- Evidence of renovations, approvals or completed works
- Any instruction, reliance or reassignment correspondence you already have
Do not assume
- A recent report is automatically valid for every lender
- Paying the fee means you control who can rely on the report
- An agent appraisal or online estimate will replace lender policy
- A related-party purchase price proves open-market value
If you are buying at auction or under an unconditional contract, settle the valuation question before the deadline. A valuation issue does not automatically extend your purchase contract, and switching lender late can add a new credit and documentation timetable even if the second lender accepts the same value.
Why do you borrow less without a full valuation, and what does it cost?
Skipping the valuer usually costs you borrowing power, not a valuation fee. A lender that relies on a desktop or kerbside figure protects itself by lending a smaller share of the value, and a lender with no figure at all lends a smaller share again. You save the fee and some time; you give up loan size. On a caveat or second mortgage, lenders measure the combined LVR: your existing loan plus the new one, against the value. The exact caps move with each lender's appetite, so rather than quote a number here, we keep the LVR caps non-bank lenders are publishing this quarter in one place.
| Item | With a full valuation | With a desktop or kerbside figure | With no valuation at all |
|---|---|---|---|
| Maximum LVR the lender will consider | Highest | Lower | Lowest |
| Valuation fee | Usually paid by the borrower | Small or none | None |
| Time the valuation adds | The longest of the three, while an inspection is booked and written up | Shorter, with no inspection to book | None |
| Can you see the report? | At a bank, yes for a commercial or agricultural valuation you paid for, unless enforcement has started; at a private lender, ask | Ask | There is no report |
Sources: Australian Banking Association, Banking Code of Practice, paragraph 97, effective 28 February 2025, read 30 September 2026 (report row; subscribing banks only, private lenders are not covered). The other rows are indicative, from our broking, and vary by lender.
Whatever figure is used, the lender's cap protects the lender, not you. On the report itself, the Banking Code says a bank that received a valuation of a commercial or agricultural property which you have paid for will give you a copy and the related valuer instruction, except where enforcement proceedings have commenced. Private lenders are not bound by the Banking Code, so ask before you pay. If the deal does not fit a bank at all, private lending for business is where most no-valuation loans sit.
An owner wants maximum borrowing on a regional acreage property and asks for no valuation. Comparable sales are thin, so the lender orders a full valuation anyway. Asking for no valuation cost several days before the valuation was ordered; ordering it at the start would have been faster.
Caveat, second mortgage or private first mortgage: which suits a no-valuation deal?
In the private-lending files we see, caveat loans are a common fit for reduced-valuation deals because they are usually short and supported by a wide equity buffer. A registered second mortgage suits a longer term where the first lender consents, and a private first mortgage more often needs a full valuation. Caveat loans for business are the usual home for a desktop or kerbside figure, and a private first mortgage suits a refinance or purchase with no senior debt. Can you get a caveat loan with no valuation at all? Sometimes, on a small short loan with a wide buffer, but most still rely on at least a desktop figure. For the structures side by side, see how caveats, second mortgages and bridging differ, and for the mechanics, how a caveat works on your title.
| Product | Security | Valuation lenders usually want | Fits when |
|---|---|---|---|
| Caveat loan | A caveat lodged on the title, not a registered mortgage | Often desktop or kerbside on smaller, short loans | Short term, clear exit, wide equity; check your first mortgage's terms, which can restrict further dealings |
| Registered second mortgage | Registered behind the first lender | Desktop on some products, full on larger loans | Longer term, first-lender consent obtainable |
| Private first mortgage | Registered first | Full valuation more often, especially on larger loans | Refinancing or buying, no existing senior debt |
How accurate are desktop and automated valuations?
They can be reasonably reliable on standard properties with plenty of recent comparable data, but they become less dependable as the property becomes unusual or the evidence gets thin. Automated figures are statistical estimates, and the uncertainty is usually greatest on the properties borrowers most want to skip a valuer on. PropTrack's paper Demystifying the AVM says "A best-in class AVM will perform with an accuracy of over 80% within 10% of the contract price", and that 68% of the time the sale price or valuation should fall within one forecast standard deviation of the AVM value (PropTrack, Demystifying the AVM, undated, file path November 2023, read 30 September 2026). That is a data provider's own benchmark for the best automated models, not an independent test, not a figure for any lender's model, and not a measure of a valuer's desktop report. The API's own desktop standard says a desktop carries more likely variation than an inspected valuation, but it gives no accuracy figure for desktops.
Banks are expected to check their shortcuts: APRA's guidance looks for back-testing of a statistically random sample of AVMs and desk-top assessments (APG 223, read 30 September 2026; ADIs only). Its prudential standard also says "An ADI must ensure all valuations are appraised independently from the ADI's credit origination, credit assessment and approval process" (APRA, APS 220 Credit Risk Management, paragraph 48, in force 1 January 2023, read 30 September 2026). That is a separation-of-duties rule inside the bank, not a rule about the borrower, and a private lender is not bound by it. The usual failure points for a figure prepared without an inspection:
- Renovations the data cannot see. A new kitchen or an extension may not show in sales records.
- Unique or rural property. Few comparable sales means a wide margin of error.
- A fast-moving market. Recent sales lag the market on the way up and on the way down.
- Condition problems. Damp, structural issues and defects are found by inspection, not by data.
The risk runs both ways. A high desktop figure lets you borrow more than a full valuation would support, and if the property later sells for less, the loss falls on you at sale. A low one is the more familiar problem, covered in when a valuation comes in low. Lawyers see the same risk from the lender's side: the Legal Practitioners' Liability Committee tells solicitors acting for private lenders to "Recommend an independent valuation of the security property" before documents are executed (LPLC, Independent valuations essential for lenders, 9 April 2026, read 30 September 2026; guidance to lawyers acting for lenders, Victoria). For the rest of the file, see what a private lender needs to fund fast.
What happens if the AVM fails or the desktop valuation comes in low?
First work out whether the problem is a failed method or a low accepted value. If an AVM cannot return a reliable result, that does not necessarily mean the property is worth less: the lender may simply escalate the file to a desktop, kerbside or full valuation. If a desktop or full valuation comes in low, the lender normally sizes the loan from the value it accepts, not from your estimate, the agent's appraisal or the amount you hoped to raise.
Use this order rather than immediately applying everywhere else:
- Confirm what method was used. Ask whether the result was an AVM, valuer-led desktop, kerbside or full inspection, and whether the issue is low confidence, missing data or an actual lower value.
- Check the inputs. Confirm the address, land area, improvements, tenancy, property type and sale evidence are correct.
- Supply better evidence. Provide genuinely comparable recent sales and evidence of renovations, approvals, leases or completed works the first assessment may have missed.
- Ask whether the lender permits a review. Some lenders will send additional evidence back to the valuer or order a more detailed valuation. A review is not a right to a higher number.
- Ask whether a full inspection would solve the information gap. An inspection can capture condition and improvements that remote data missed, but it can also confirm the same or a lower value.
- Work out the borrowing shortfall at the accepted value. Reduce the loan, contribute more equity, add acceptable security or change the structure so the lender's LVR works.
- Test another lender only for a real policy difference. A different lender may use another panel, valuation method or risk appetite, but changing lenders does not guarantee a higher value and can restart credit and documentation work.
- If settlement is close, solve the date problem separately. Do not let a valuation dispute run past a contractual deadline without also working on the funding shortfall and settlement options.
Who pays for the next report depends on the lender and why it is being ordered. Ask before authorising it. If a settlement is already running, treat the valuation shortfall as a funding gap immediately. Our valuation shortfall guide covers the options when the contract date is now the problem.
What protection do you have if a no-valuation loan goes wrong?
It depends on what the credit is actually for. Genuine business-purpose property loans can fall outside the National Credit Code, so protections that apply to regulated consumer credit may not apply. ASIC says the Code applies where credit is provided wholly or predominantly for personal, domestic or household purposes, or to purchase, renovate or improve residential property for investment purposes, or to refinance credit provided for those purposes (ASIC, National Credit Code, last updated 1 August 2025, read 30 September 2026; general information, not legal advice). A loan for your business's working capital or a business purchase usually falls outside it.
The paperwork alone does not settle it. Section 13 of the Code presumes the Code applies unless the contrary is established, and a business purpose declaration is ineffective if the lender knew, had reason to believe, or would have known after reasonable inquiries that the credit was really for a Code purpose (National Credit Code, Schedule 1, National Consumer Credit Protection Act 2009 (Cth), s 13 Presumptions relating to application of Code, compilation 1 July 2026, read 30 September 2026; general information, not legal advice). How that plays out on a fast loan is covered in business purpose on a caveat loan.
Outside the Code, the protections thin out further. ASIC's information sheet says "The law provides the lowest level of protection to commercial loans, including loans to small businesses", and "Lenders that only provide commercial loans are not required to have a credit licence and are not legally required to be a member of AFCA". Where a lender is an AFCA member, AFCA can hear complaints from small businesses with fewer than 100 employees (ASIC, INFO 207, April 2024, read 30 September 2026; general regulator information). Before you sign, it pays to know how to check a private lender.
Whether a loan is regulated, and what a business purpose declaration means for you, is a question for your solicitor; how the debt sits in your accounts is one for your accountant. If a loan is already in default or the lender is enforcing, speak to a solicitor before signing anything new. ASIC's page on disputes about commercial loans explains where a complaint can go.
How fast can a loan settle without a full valuation, and what should you send first?
No lender can promise a date without a full valuation, but removing the inspection takes out the time a valuer needs to book, visit and write up the property. The title, any first-lender consent, independent legal advice and your documents still set when you settle, so the fastest thing you can do is send the file complete on day one.
An AVM can return a result very quickly because no inspection needs to be booked. A desktop can also remove the site visit, but there is no universal turnaround time: the lender, valuer workload, property complexity and whether the result needs to escalate all matter. Treat "no full valuation" as one step removed from the timetable, not as a settlement promise.
| Potential blocker | Why it can move the settlement date |
|---|---|
| Title search | The lender must confirm the owner, registered mortgages, caveats and other interests affecting the security |
| Existing mortgage payout | The amount owing ahead of the new lender affects available equity and settlement funds |
| First-mortgagee consent | A registered second mortgage may need the first lender's consent before it can proceed |
| Priority or intercreditor arrangements | Where two lenders share security, their priority and enforcement rights may need to be documented before settlement |
| Company or trust documents | The lender and lawyers need to verify the borrowing entity, trustee position and signing authority |
| Identity and verification checks | Borrowers, guarantors and relevant entities still need to satisfy identification and verification requirements |
| Loan documents and legal advice | Private lenders commonly require signed documents and independent legal advice before funds are released |
| Proof of exit | A short-term lender may not settle until the sale, refinance or other repayment path is credible and documented |
| Lodgement and settlement mechanics | Security documents, discharges and settlement instructions still need to be ready for the electronic settlement process |
Practical point: removing the full valuation removes an inspection step. It does not remove title, consent, legal, entity, identity, documentation, exit or settlement requirements.
What to have ready before you ask for a loan without a full valuation
- The property and its owner. The address and who holds the title: you, your company or your trust. If an entity is involved, have the company or trust documents ready.
- The latest council rates notice. It confirms the owner and the address quickly.
- A statement or payout figure for any existing loan on the property. The lender needs to see what sits ahead of it.
- The amount, the purpose and your date. What the funds are for and when you need them.
- Your exit. A sale contract, a refinance approval or another documented way the loan will be repaid.
- Anything that helps a valuer. A recent valuation or contract of sale, and invoices or approvals for recent renovations, in case the lender orders a full valuation after all.
- Access for a valuer. Keys, tenant contact details and site access ready, because a valuer who cannot get in cannot report.
From there, the sequence on a typical fast private deal runs like this:
- Identity and application. The lender verifies who is borrowing and which entity holds the property.
- Title search. Ownership, existing mortgages, caveats and any dealings on the title are checked.
- First mortgagee consent and priority arrangements, where needed. A registered second mortgage may need the first lender's consent and, on some structures, a deed of priority or other intercreditor arrangement; see first mortgagee consent and priority deeds.
- Loan documents and independent legal advice. Private lenders commonly require it before signing.
- Original documents and certified identity to the lender's solicitor. A missing original is a common reason a date moves.
- Lodgement and settlement. Settlement usually runs on the electronic settlement platform.
- Discharge planning. The exit, whether a sale or a refinance, is lined up before the loan starts.
If the deadline is fixed, start with urgent settlement finance, and read what sets a settlement timeline before you promise a date to anyone.
A loan without a full valuation may rely on an AVM, desktop or kerbside assessment, or a business lender may make its own security assessment without commissioning a third-party report. In every case, the lender still needs a basis for value. Lenders accept one when the equity buffer is wide and the property is easy to value, and they pay for the shortcut by lending you less. Regional, specialised and larger deals usually go to a full valuation anyway, and the title, consent, legal advice and exit, not the valuer, usually set the settlement date. Business-purpose loans carry less protection, so check the lender and the paperwork. More options for property-secured borrowing sit in our property lending hub.
Key takeaway: solve the real constraint, not just the valuation. Ask which method the lender will accept, send the title, loan statement, value evidence and exit on day one, and have a plan for what happens if the shortcut fails or the figure comes in low.What else do borrowers ask about loans without a full valuation?
A desktop valuation is an indicative value a certified valuer prepares from sales data and property records without inspecting the property. A lender may accept one on a low-risk loan with a wide equity buffer. Our property valuation glossary explains the related terms.
No. In a desktop appraisal the valuer does not physically inspect the property, and the result is an indicative value rather than an opinion of market value. A full valuation includes an inspection and more complete enquiries. See what a full commercial valuation tests.
Three things change. A full valuation inspects inside and out and gives the valuer's opinion of market value; a desktop valuation has no inspection and gives an indicative value; and lenders usually cap the loan lower on a desktop figure. A full valuation also takes longer, because the inspection has to be booked. See no-valuation caveat loans from private lenders.
Most lender guides name three: full, kerbside and desktop. Add the automated valuation model, which many lenders use to screen loans, and you have the four that decide most property-secured loans. An agent appraisal is not a valuation. When valuers talk about four methods of valuation, they usually mean comparable sales, income capitalisation, summation and the hypothetical development method. See valuation types compared.
A curbside valuation is the same as a kerbside or drive-by valuation: a valuer looks at the property from the street and combines that with sales data, without going inside. See our valuation glossary entry for the other types.
It depends on the property. Automated models are close on ordinary, well-traded homes: PropTrack says a best-in-class AVM lands within 10% of the contract price more than 80% of the time. That is a data provider's benchmark for automated models, not for a valuer's desktop report, and accuracy falls away on rural, unique or recently renovated property. See how accurate remote valuations are.
Yes, sometimes. Private and non-bank business lenders may lend on a desktop or kerbside figure instead of a full valuation, usually at a lower loan to value ratio and on short loans with a wide equity buffer. Banks decide case by case under APRA's risk-based guidance. See caveat loans for business.
Usually not as the figure the lender relies on. Lenders generally rely on a valuer they instruct, so a report you ordered yourself, an agent appraisal or an online estimate is supporting evidence. A recent report may be re-addressed, assigned or covered by a reliance letter, but API guidance says assignment needs the original client's written consent and cannot be relied on beyond 90 days from the original inspection. See what a private lender needs to fund fast.
Sometimes. APRA recognises reviews of contracts of sale as an acceptable valuation assessment for banks in the appropriate context. Whether a lender will rely on the contract depends on its policy, the transaction and the risk, and refinances and equity releases usually need another basis for value. See what can replace a new valuation.
Yes, you can ask. A more detailed valuation may capture renovations or condition the desktop missed, but it can also confirm the same or a lower value. Ask about the review process and who pays before ordering anything. See what to do when the figure comes in low.
Check the property details, provide stronger comparable sales and evidence of improvements, ask whether a review is available, reduce or restructure the loan, or test another lender where there is a genuine policy or panel difference. A different lender does not guarantee a higher valuation. Valuation shortfall options at settlement sets out the options.
There is no single rule for a fresh valuation: each lender sets its own limit, commonly a few months, and a moving market or work on the property can bring that forward. For an assigned valuation, API guidance to valuers says no one may rely on it more than 90 days after the original inspection. See what sets a settlement timeline.
There is no set price. Cost depends on the report type, property, location and complexity, and a full inspection generally costs more than a desktop assessment. On private lending the borrower commonly pays the valuation cost, so ask what will be ordered and who pays before you agree. Current lender settings are in our non-bank lender policy matrix.
It usually means the credit sits outside the National Credit Code, commonly because it is genuinely for business purposes. The legal position depends on the actual purpose and borrower, not just the label on the documents. Ask your solicitor if the distinction matters to your transaction. See how private lending works.
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