Christchurch's independent
property valuation consultancy:
registered, residential specialists

Chattels Assessments:

We can help Christchurch property investors maximise their depreciation claim for tax purposes by providing a customised chattels valuation, better defined as a depreciation schedule or apportionment.



What do the Budget 2010 changes to property depreciation tax mean?

In summary, come 1 April 2011 property investors will:

  • lose the capacity to claim depreciation on buildings
  • maintain the right to claim depreciation on anything that the IRD deems is not part of the building i.e. chattels


What will it mean to building depreciation come 1 April 2011?

Building depreciation deductions will no longer be allowed for buildings with an estimated useful life of 50 years or more, from the 2011-12 income year.  See the IRD's Building Depreciation Fact Sheet.

The depreciation rate of buildings will reduce from 3% DV (diminishing value) to NIL.

Basic example: if your total investment property improvements (i.e. property value - land value = buildings) are $500,000 and you are claiming at the building rate of 3% (which is more than likely) you will currently have a depreciation claim of $15,000 - this will be gone!

Although this will affect cashflow, this change does remove the hazy issue of 'depreciation recovery' on sale of a property going forward - as buildings typically increase in value over longer periods of time, unlike chattels.


Will I still be able to claim for chattels?


Building owners will still be able to claimdepreciation deductions for 'fit outs' not considered part of the building i.e. chattels.

As chattels genuinely depreciate in value over time (generally unlike buildings) the IRD view this area of depreciation legitimate.


I haven't claimed chattels in the past - should I start now?

Our area of expertise is in providing professional chattels assessments or depreciation schedules - not taxation advice - so we urge you to discuss the benefits of a chattels valuation with your accountant.

But the bottom line is: if you are not currently claiming a split on your purchase price (i.e. buildings + chattels), next year you will be no longer able to claim any depreciation - nothing, nada, nil!

Generally your goal should be to maximise your depreciation claim in order to maximise your cashflow.  Post Budget it is even more important to cover all bases as the depreciation opportunities have been reduced.

We think it makes more sense than ever to maximise your depreciation claim through a 'Chattels Valuation'.

IMPORTANT NOTE: a chattels valuation is a one-off cost - and therefore a small investment for on-going, future savings.

The report becomes the 'base-line' reference for your accountant for 'year one' - every year moving forward they use the relevant depreciation rates to continue your claims.


What are chattels?

Chattels are moveable and removable components within a building such as:

  • heat pumps!
  • carpets
  • curtains
  • dishwasher
  • stove
  • lightfittings
  • flooring
  • and don't forget...heat pumps...these alone can add significantly to a claim!


What is depreciation?

The technical definition refers to 'an allowance for wear and tear on an asset over its useful life'.  In other words an allowance from the Inland Revenue Department for the fact that, over time, assets wear out.

The positive aspect of depreciation is that it is a non-cash expense - an expense you can claim in your accounts that doesn't really cost you anything.  Claiming an expense in your accounts means you pay no tax on that expense.

The more depreciation you can rightly claim, the less tax you pay, and obviously the more cash you have in your pocket.


What is a chattels valuation report or depreciation schedule?

As different assets last for a different period, different assets have different depreciation rates.

Our specialised reports provide a detailed schedule of each asset listed individually with their most up-to-date depreciation rate outlined by the IRD.

All reporting methods are in accordance with the most current IRD requirements and rulings.


Do you inspect my property?

Yes - always.  A full internal & external onsite inspection is critical to valuation accuracy.  Our senior registered valuer personally undertakes ALL Valuation Solutions inspections. 

We try our best to offer appointment times convenient to you and/or your tenant (depending on your urgency), or can organise inspection directly with your estate agent or property manager.


Who will do my chattels assessment?

Our senior registered valuer personally undertakes ALL Valuation Solutions inspections. 

Our personal service ensures that one experienced individual is hands-on and responsible for the whole valuing procedure...onsite assessment, research, analysis & calculations.  We do not have any junior or un-registered staff involved in our valuation processes.


How long will it take to complete?

At Valuation Solutions we do our best to restrict our work load to keep our report turn-around times to a minimum.  Our clients can expect their reports usually within three to four working days following the property inspection.

If you are under extreme time pressure, we can look at providing a 24 hour turn-around service, but as this will require us to rearrange our given schedule, an additional charge will be quoted upfront.

And we're not all talk - we will deliver when we say we will!  Check out our on-time money-back guarantee!!


How much will it cost?

NOTE AGAIN: a chattels valuation is a one-off cost - and therefore a small investment for on-going, future savings.

The report becomes the 'base-line' reference for your accountant for 'year one' - every year moving forward they use the relevant depreciation rates to continue your claims.


Rate for properties fitting our standard criteria*:

Chattels Valuation Report   =  $500 incl gst
Chattels Valuation + Current Market Valuation for same property  =  discounted fee for chattels report!  Call now to enquire

Go to FAQs for further details relating to:

  • our fees
  • standard property criteria*
  • payment methods
  • other product choices

But every valuation is unique, and the cost may vary, so we therefore confirm all quotes prior to beginning any valuation.  We recommend you simply complete and submit our online enquiry form to enable us to come straight back to you with an accurate quote.

INVESTORS don't miss this FREE data resource:

Go to QV, Zoodle, RPNZ and this type of property data will cost you $$$.  Save your money! 

It's not often you can genuinely get something for nothing!!

CLICK HERE to discover one of the Christchurch property industry's best kept secrets...


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read what our clients have to say about us...

Bevan provided a great service! He was on time and while he completed a thorough apprasial he still had time to chat.

From whoa to go, Valuation Solutions was a very easy company to deal with!!

Thanks Team!! 

Gerard Byron



As people who have been looking to purchase real estate in an uncertain market, we know that a professional valuation is a necessity and crucial to sensible buying.

We have found your services at Valuation Solutions to be outstanding.  The three valuations you have done for us to date have been expedient, thorough and concise.  They have left us feeling reassured and confident prior to submitting offers on residential homes.

Your professionalism is second to none.  We have previously used one of your larger competitors in the industry, and can happily attest to Valuation Solutions superior all round service.

Your genuine interest in our progress and follow up service has left us feeling valued as customers.

You have happily fielded numerous phone calls from us and given great advice and explained all aspects of your report.

You have been able to refer us to other professionals from your network of industry specialists which has resulted in us being better informed about a potential purchase - which saved us from buying a real estate disaster!

We really appreciate the work you have done for us during the year and look forward to using your service again in the near future.

Tom & Joelene Frost -