A valuation is an independent report of the value of a property, and may include some commentary regarding the condition or features. It is used by the bank to determine whether the property is acceptable to them, and how much they will lend against it.
Your Broker, or the bank, will order a valuation when you are purchasing a new property or refinancing your existing property.
It is important to remember the valuations are for use by the bank and do not negate the need for a Pest and Building Report. While Pest and Building Reports are not mandatory, it is highly recommended that you seek advice from a Pest & Building specialist to check for any major structural concerns.