Greek Real Estate challenges: An integrated approach on property valuations amidst turbulent times Regulated by RICS
|
|
- Albert Collins
- 5 years ago
- Views:
Transcription
1 Page 1 Dimitris Andritsos MSc MRICS Chief Executive Officer Eurobank Property Services Greek Real Estate challenges: An integrated approach on property valuations amidst turbulent times Regulated by RICS October 2015
2 Table of Contents Page 2 I. Real Estate Market Overview II. New Challenges in the Role of Valuers III. The Contribution of the Greek Banking System IV. Advanced Tools V. Case Study: Valuations v/s Actual Transactions VI. Conclusion VII. APPENDIX
3 I. Real estate market overview Page 3 Inherent Problems: Lack of Transparency Tax Regime (Varying tax laws with high tax factors) Urban Planning Complications Overall Bureaucracy Negative pressure attributed to: Current Economic Climate Political Instability and Uncertainty Unfavorable Macroeconomic Forecasts Resulted in: Deferral or Cancellation of Investment Initiatives Decrease in Development Activity Precarious Forecasts Requirement for Higher Yields Note: Impact on recent developments (i.e. Capital Controls, MOU III) not yet factored in. Source: ELSTAT
4 I. Real Estate Market Overview Page 4 Sources: The World Bank, Bank of Greece, Eurobank Property Services Research
5 I. Real Estate Market Overview Structural Changes of Institutional Framework Page 5 A series of structural reforms in legislation have been introduced to attract investments. These are: Deregulation of commercial leases (Negotiable duration minimum 3 years instead of 12 years) (4242/2014) Significant decrease in property transfer tax to 3% (4223/2013) Composite Touristic Investments (e.g. Hotels and housing in the same development) (2012) Special Plan of Spatial Development of Public Estate (ΕΣΧΑΔΑ 3986/2011) Special Plan of Spatial Development of Strategic Investments (ΕΣΧΑΣΕ 4146/2013) Recapitalization of the Banking System. Source: European Commission (May 2015), ELSTAT (September 2015)
6 I. Real Estate Market Overview: A light at the end of the tunnel? Page th Emerging Trends in Real Estate (ULI & PWC Report) Investment Trends Traditionally safe investment destinations are oversaturated (London, Zurich, Paris etc.) Investors seeking returns are more willing to assume additional risk (German Stalwart Cities, European Recovery Plays etc.) 28 th Source: Emerging Trends Europe survey 2014 Source: Emerging Trends Europe survey 2015 Investments & Infrastructure Announcements (Indicatively) Athens Metro and Tram extensions Faliron Seafront Regeneration Pedestrianization of Panepistimiou Avenue Exploitation of former Hellinikon airport (Lamda Development & Foreign Investors) Completion of Iconio-Thriasio Rail line (logistics)
7 II. New Challenges in the Role of Valuers Page 7 Market value definition by International Valuation Standards: The estimated amount for which an asset or liability should exchange on the valuation date between a willing buyer and a willing seller in an arm s length transaction after proper marketing and wherein parties had each acted knowledgeably, prudently and without compulsion. Critical Question How can this be applied in a Market which is: Intransparent Stagnating (reduced transaction volume) Distressed Prerequisites for reliable valuations: In-depth Knowledge of Valuation Methodologies and Practices: High Academic and Professional Credentials of Valuers Continuous Professional Development Market Intelligence Access to Reliable Market Data Monitoring of Market Trends & Changes Quality Control: Effective Reviewing Mechanisms
8 II. New Challenges in the Role of Valuers Page 8 Sophistication of Appraisal Practices Progress on an institutional level: Increasing demand for high level of professional and academic credentials Specialized institutions presence (e.g. TEGOVA, AVAG, HVI, RICS, ULI, ICSC) in the Greek market Supported by senior property professionals Organization of training events (Life-long learning programs through seminars, workshops) Increase in headcount of officially certified valuers TEGOVA: 29 members in 2009; 504 in 2014 New categories of accreditations have been added: (e.g. Valuer specializing in Plant and Equipment) RICS: 27 members in 2003; 151 in 2015 Number of accredited valuers by TEGOVA , Source: AVAG
9 Volume in bn Page 9 III. The Contribution of the Greek Banking System Banking system is the major stakeholder in Greek Real Estate, controlled and supervised by European organizations such as European Central Bank, and national supervision authorities (Bank of Greece) Wide network of accredited valuers on a national level with in depth knowledge of local sub-markets Valuers are qualified professionals, certified by international organizations with high professional recommendations and having undergone special training Assessment of valuers per case and on an annual basis Total Volume of Outstanding Loans Consumer loans Residential loans Source: Bank of Greece (BoG) Bussiness loans Total NPLs
10 III. The Contribution of the Greek Banking System: Quality Control Page 10 Multiple steps of reviewing process 4-eye principal (or 6- or 8-eye for complex cases), Centralised character of reviewing on a senior level according to predetermined control criteria, Red flag check, Sample checking of valuations by external independent valuers. Appraisal 1 st Review 2 nd Review Sample Checking Specialized Software development (REAL II, WAVE etc.), Software developments along with the requirements of Internal Control result in high level risk audit. Development and exploitation of sophisticated tools
11 IV. Advanced Tools Page 11 Advanced tools used for valuation assessment and effective risk management: 1. Regularly Updated Market Reports 2. Residential & Commercial Indices which help monitoring Market Trends & Changes 3. Forecasts 4. Sophisticated Statistical Tools which provide Current Market Price Estimations & monitor Risk (e.g. Automated Reviewing Mechanism (ARM))
12 IV. Advanced Tools: Market Intelligence Page 12 A wide range of reports covering all major property markets are updated regularly, estimating the sale price and rent ranges per property type for each geographical area, early identifying changes in market trends Property Age (residential properties) Up to 10 years >40 years Market Reports Location Expensive Medium Economic Structure of Residential Market Reports Annual Nation-wide reports on local commercial property markets (offices retail) in their entirety as well as their sub-segments. Periodical Prefecture level reports on all major markets (residential offices retail). For the prefectures of Attica and Thessaloniki we publish the respective reports for each of their municipalities. The number of total reports updated semi-annually is 233. Specialized market reports as well as major market sub-segment reports (e.g. Offices on Syngrou Avenue) or specific area reports (e.g. island of Rhodes hotel market) etc.
13 IV. Advanced Tools: Residential and Commercial Indices Page 13 Residential Indices Commercial Indices 15 Indices in Attica Year of Construction Office Retail 24 Indices in Thessaloniki & Rest of Greece 1 Index for Greece 2 Indices for Greece (Old & New Apartments) 2 Indices for Athens (Old & New Apartments) Valuations are collected on a quarterly basis.
14 IV. Advanced Tools: Residential and Commercial Indices Page Residential Index Comparison: BoG - EPS - PropIndex 120 EPS Commercial Index BoG EPS PropIndex 0 Quarter All Office Retail Residential: 40% decrease since 2007 Commercial: 50% decrease since 2007
15 IV. Advanced Tools: Forecasts Page 15 Residential Index Forecasts are based on: World leading quality macro economic data and forecasts at local level Exhaustive collection of local level planning and building activity data Outcome of advanced econometric modelling, consistent with latest theoretical scientific literature, fully integrated with relevant macroeconomic variable forecasts (Inflation, Interest Rates, Household Disposable Income etc.) Covering from short term to long term (over 4 years) horizon, with quarterly predictions.
16 IV. Advanced Tools: Automated Reviewing Mechanism (ARM) Page 16 Automated Reviewing Mechanisms (ARM)s are testing instruments based on the structure of Automated Valuation Models (AVMs). ARMs use the same tools and information with the AVMs. The uniformity and performance of ARM s database has been carried out according to the Standards on Automated Valuation Models (AVMs), approved by the IAAO* and ANEVAR. ARMs enable quick and effective monitoring of valuations. ARMs work as an ALERT system that point toward the cases with Forecasting & Questionnaires Hedonic Regression Model Extensive Database & Updated Market Reports abnormal deviations. Four-phased procedure: An efficient and transparent process of continuous monitoring Phase 1 Valuation Phase 2 1 st Review Phase 3 Phase 4 Real Time ARM Filter 2 nd Review AVM Initial Certified Valuation of portfolio or single property 1 st review from specialized experts (market researchers and reviewers) Usage of ARM checker for identification of large deviations 2 nd Review for cases with deviations over 20% *International Association of Assessing Officers
17 IV. Automated Reviewing Mechanism: Performance Procedures Page 17 Average deviation 1.30% 12.80% Mean Absolute Deviation at National Level 54.22% of appraisals with deviation less than 10% About 80.60% of appraisals with deviation less than 20% The quality of the data is checked daily under a fourphase procedure.
18 V. Case Study Valuations v/s Actual Transactions : Data Collection Page Collection of transactions data from multiple sources: i. Eurobank Property Services Database ii. Local Real Estate Agents 2. Type of Transactions i. Commercial Office Transactions Residential (focused on apartments - total sample: 200) ii. Retail Residential Commercial (Limited # of transactions - total sample: 34) Apartments (90% of Sample) Semi-detached houses Detached houses Research focused on Attica due to the high concentration of transactions. Source (images): kasrawy.deviantart.com,
19 V. Case Study Valuations v/s Actual Transactions : Limitations Page 19 No study goes without limitations: Grammy Award Winning Artist Phil Hansen once said: Embrace your LIMITATIONS and watch yourself become LIMITLESS In this case study, the following limitations, regarding transaction data were faced: 1. Insufficient address data (e.g. The street name was Source: Image - on 23/9/2015 known but not the exact location street number etc.) 2. Subjective evaluation of property characteristics amongst agents (e.g. condition of maintenance, view etc.), 3. Exact Transaction Date (Indexation purposes e.g. 2 nd Semester of 2014 was expressed as 15/9/2014), 4. Insufficient property characteristics (e.g. floor number, condition of maintenance etc.) for a small number of transactions.
20 V. Case Study Valuations v/s Actual Transactions : Procedure Page 20 Three (3) sets of values were created to be compared to transactions: Statistically Estimated Value (produced by ARM) Certified Valuation (desktop) Market Range For a transaction to be considered special (non-ordinary), the criterion was to FAIL all three sets of values. An ordinary transaction only needed to pass one test. 1 st check Statistically Estimated Value Checks the deviation between the value created by the mathematical model and the transaction. 2 nd check Certified Valuation Checks the deviation between the value created by the network and the transaction. 3 rd check Market Range Checks whether the transaction lies between the range of the reports or the extended range +/- 20% (loose criterion). SPECIAL TRANSACTION
21 V. Case Study Valuations v/s Actual Transactions : Residential Results Page 21 Results: Ordinary Transactions (68%) Special Transactions (32%) Ordinary Transactions (68%) Summary Transaction /Desktop Transaction /ARM Market Report Ranges Mean Deviation Mean Absolute Deviation -5.6% -6.1% Within Range 12.9% 14.2% Within Range
22 V. Case Study Valuations v/s Actual Transactions : Residential Results Page 22 Results: Non-Ordinary Transactions (32%) The results indicate that those transactions were special (nonordinary). The sale prices are not close to any of the values and additionally do not fall within the market report ranges, leading to extremely large deviations. The results imply that transactions have occurred in a different level of prices due to: Tax Motives (not arm s length) Special Circumstances (e.g. rumors for haircuts on bank accounts, capital controls etc.) Forced Sales (distressed sales) Other
23 V. Case Study Valuations v/s Actual Transactions : Commercial Results Page 23 Results: All Transactions (Non-ordinary & Ordinary) Special Transactions (12%) Ordinary Transactions (88%)
24 V. Case Study Valuations v/s Actual Transactions : Commercial Results Page 24 Results: Commercial Ordinary Transactions (88%)
25 V. Case Study Valuations v/s Actual Transactions : Commercial Results Page 25 Results: Commercial Non-Ordinary Transactions (12%)
26 V. Case Study Valuations v/s Actual Transactions : Summary of Results (Cumulative Charts) Page 26
27 VI. Conclusion Page 27 An integrated approach was adopted to improve reliability of valuations in turbulent times: 1. Improved Qualifications of Valuers (training, continuous professional development, certifications etc.) 2. Development of Sophisticated Systems (Review Mechanisms, Software REAL, WAVE etc.) 3. Utilization of Tools (indices, market reports to capture market trends, ARM, forecasts). This approach resulted in a success rate of valuations between deviation ranges [-20%,20%] of 80% for both residential and commercial properties.
28 VII. APPENDIX Page 28 APPENDIX
29 VII. Legislative aspects of an AVM Page 29 Internationally (UK): The Financial Service Authority provides general guidance in its Prudential sourcebook for Banks, Building Societies and Investment Firms (known as BIPRU). Rule sets out the method for monitoring property values, noting that it allows statistical methods to be used to monitor the value of the property and to identify property that needs revaluation. AVM is bound to limitations in usage in line with international practice Explicit terms and conditions are provided on the EPS website
30 VII. Development of EPS AVM Page 30 The overall construction and assessment of the EPS AVM has been established according to ANEVAR s guidelines. EPS followed the hereinafter stages: Stage 1: Sampling Procedures Stage 2: Sample Size Stage 3: Data Management and Data Quality Analysis Stage 4: Stratification Stage 5: Determining Model Specifications Stage 6: Model Calibration Stage 7: Model Testing for Quality Stage 8: Model Validation Stage 9: Model Application Stage 10: Periodic Check of Model Accuracy
31 VII. Advanced Tools: Automated Valuation Model (AVM) Page 31 Hedonic Regression Model: is in the heart of ARM and Index developments Ln(V6li/V8li) = Σb1ljVji + Σb2jLji + Σb3jaji + eli provides the optimum coefficients for each property characteristic, useful in developing a successful mathematical process based on: Market forecasting Indices are based on historical data and therefore reflect both the present and the past) Market Reports Cover multiple areas. Present the current sale price and rent ranges for each geographical area. Specialized Questionnaires filled in by Market Experts Forecasting & Questionnaires Extensive Database & Updated Market Reports AVM Hedonic Regression Model
32 VII. Advanced Tools: Uniformity and Performance of Database Page 32 The uniformity and performance of ARM s database has been carried out according to the Standards on Automated Valuation Models (AVMs), approved by the International Association of Assessing Officers. Ratio Study Performance Standards Area Characteristics COD* PRD* Newer, more homogeneous areas 10.0 or less Older, heterogeneous areas Rural residential and seasonal 15.0 or less or less Greek Real Estate has shown a more heterogeneous performance with COD less than 15 (12.8) and an automatic reviewer model that shows a very good performance both to low valued and high valued properties (PRD close to 1). *ARM: Automated Reviewing Mechanism *COD: Coefficient of Dispersion *PRD: Price Related Differential
Automated Valuation Model
Automated Valuation Model An innovative tool for Market Intelligence and Risk Management June 2015 Regulated by RICS EPS - Introduction Established presence in SEE: Greece (since 2000) & Romania, Bulgaria
More informationA. K. Alexandridis University of Kent. D. Karlis Athens University of Economics and Business. D. Papastamos Eurobank Property Services S.A.
Real Estate Valuation And Forecasting In Nonhomogeneous Markets: A Case Study In Greece During The Financial Crisis A. K. Alexandridis University of Kent D. Karlis Athens University of Economics and Business.
More informationCommercial Property Price Indices for Greece
Commercial Property Price Indices for Greece Vasiliki Vlachostergiou, Theodore Mitrakos, Calliope Akantziliotou Real Estate Analysis Section Bank of Greece November 2015 1.1 Bank of Greece - Synopsis of
More informationThe Influence of EU Regulation and European Valuation Standards on Real Estate Valuation
The Influence of EU Regulation and European Valuation Standards on Real Estate Valuation Thessaloniki 9 th October 2015 Krzysztof Grzesik REV Chairman TEGoVA The European Group of Valuers Associations
More informationSTEVEN J. DREW Assessor OFFICE OF THE ASSESSOR Service, Integrity, Fairness, Internationally Recognized for Excellence
STEVEN J. DREW Assessor OFFICE OF THE ASSESSOR Service, Integrity, Fairness, Internationally Recognized for Excellence OVERVIEW OF RESIDENTIAL APPRAISAL PROCESS And Cost Valuation Report Introduction The
More informationFrequently Asked Questions: Residential Property Price Index
CENTRAL BANK OF CYPRUS EUROSYSTEM Frequently Asked Questions: Residential Property Price Index 1. What is a Residential Property Price Index (RPPI)? An RPPI is an indicator which measures changes in the
More informationPRINCIPLES OF VALUATION
PRINCIPLES OF VALUATION AMCHAM 20 th November 2018 Who am I and why am I giving this talk? Chartered Surveyor Real Estate degree 2 years working experience APC examination Qualified member of Royal Institution
More informationInternational Conference A comprehensive approach to NPL resolution international experiences Collateral valuation an appraisers perspective
International Conference A comprehensive approach to NPL resolution international experiences Collateral valuation an appraisers perspective Krzysztof Grzesik FRICS REV Chairman TEGoVA Vienna 16 th May
More informationSTEVEN J. DREW Assessor OFFICE OF THE ASSESSOR Service, Integrity, Fairness, Internationally Recognized for Excellence
STEVEN J. DREW Assessor OFFICE OF THE ASSESSOR Service, Integrity, Fairness, Internationally Recognized for Excellence OVERVIEW OF RESIDENTIAL APPRAISAL PROCESS And Cost Valuation Report Introduction The
More informationEVGN 11. The Valuer s Use of Statistical Tools
EVGN 11 The Valuer s Use of Statistical Tools 1. Introduction 2. Preconditions for the use of AVMs 3. Limitations on the use of AVMs once the preconditions have been met 4. Portfolio valuation 1. Introduction
More information2011 ASSESSMENT RATIO REPORT
2011 Ratio Report SECTION I OVERVIEW 2011 ASSESSMENT RATIO REPORT The Department of Assessments and Taxation appraises real property for the purposes of property taxation. Properties are valued using
More informationUNECE workshop on: Cadastral and real estate registration systems: Economic information for real estate markets in the UNECE region
UNECE workshop on: Cadastral and real estate registration systems: Economic information for real estate markets in the UNECE region Roma, 5-65 6 May 2011 Maurizio Festa Agenzia del Territorio Head of Statistics
More informationHELLENIC REPUBLIC ASSET DEVELOPMENT FUND SA. 1 Kolokotroni & Stadiou Str., , Athens, Greece. Athens, May 13th, 2013
HELLENIC REPUBLIC ASSET DEVELOPMENT FUND SA 1 Kolokotroni & Stadiou Str., 105 62, Athens, Greece Athens, May 13th, 2013 INVITATION TO SUBMIT A PROPOSAL FOR AN INDEPENDENT VALUATION OF 100% OF THE SHARE
More informationMETHODOLOGY GUIDE VALUING LANDS IN TRANSITION IN ONTARIO. Valuation Date: January 1, 2016
METHODOLOGY GUIDE VALUING LANDS IN TRANSITION IN ONTARIO Valuation Date: January 1, 2016 August 2017 August 22, 2017 The Municipal Property Assessment Corporation (MPAC) is responsible for accurately assessing
More informationApril 12, The Honorable Martin O Malley And The General Assembly of Maryland
April 12, 2011 The Honorable Martin O Malley And The General Assembly of Maryland As required by Section 2-202 of the Tax-Property Article of the Annotated Code of Maryland, I am pleased to submit the
More information86 years in the making Caspar G Haas 1922 Sales Prices as a Basis for Estimating Farmland Value
2 Our Journey Begins 86 years in the making Caspar G Haas 1922 Sales Prices as a Basis for Estimating Farmland Value Starting at the beginning. Mass Appraisal and Single Property Appraisal Appraisal
More informationGENERAL ASSESSMENT DEFINITIONS
21st Century Appraisals, Inc. GENERAL ASSESSMENT DEFINITIONS Ad Valorem tax. A tax levied in proportion to the value of the thing(s) being taxed. Exclusive of exemptions, use-value assessment laws, and
More informationWashington Department of Revenue Property Tax Division. Valid Sales Study Kitsap County 2015 Sales for 2016 Ratio Year.
P. O. Box 47471 Olympia, WA 98504-7471. Washington Department of Revenue Property Tax Division Valid Sales Study Kitsap County 2015 Sales for 2016 Ratio Year Sales from May 1, 2014 through April 30, 2015
More informationThe Honorable Larry Hogan And The General Assembly of Maryland
2015 Ratio Report The Honorable Larry Hogan And The General Assembly of Maryland As required by Section 2-202 of the Tax-Property Article of the Annotated Code of Maryland, I am pleased to submit the Department
More informationRockwall CAD. Basics of. Appraising Property. For. Property Taxation
Rockwall CAD Basics of Appraising Property For Property Taxation ROCKWALL CENTRAL APPRAISAL DISTRICT 841 Justin Rd. Rockwall, Texas 75087 972-771-2034 Fax 972-771-6871 Introduction Rockwall Central Appraisal
More informationThe Effect of Relative Size on Housing Values in Durham
TheEffectofRelativeSizeonHousingValuesinDurham 1 The Effect of Relative Size on Housing Values in Durham Durham Research Paper Michael Ni TheEffectofRelativeSizeonHousingValuesinDurham 2 Introduction Real
More informationThe TAUREAN Residential Valuation System An Overview
The TAUREAN Residential Valuation System An Overview By Michael L. Robbins, Ph.D., CRE Taurean Residential Valuation Services, LLC 150 N. Sunny Slope Road, Suite 225, Brookfield, WI 53005 Phone: (262)
More informationDesigning for transparency and participation in the Hellenic Cadastral Project
Designing for transparency and participation in the Hellenic Cadastral Project Dr. Dimitris Rokos Director of Planning and Investments, Hellenic National Cadastre and Mapping Agency S.A. Table of Contents
More informationTemplate for comments Consultation on the draft ECB Guidance for banks on non-performing loans
Template for comments Consultation on the draft ECB Guidance for banks on non-performing loans Institution/Company Association of German Pfandbrief Banks Contact person Mr/Ms First name Surname Email address
More informationMass appraisal Educational offerings and Designation Requirements. designations provide a portable measurement of your capabilities
Mass appraisal Educational offerings and Designation Requirements designations provide a portable measurement of your capabilities WE are IAAO International Association of Assessing Officers We re a professional
More informationDescription of IHS Hedonic Data Set and Model Developed for PUMA Area Price Index
MAY 2015 Description of IHS Hedonic Data Set and Model Developed for PUMA Area Price Index Introduction Understanding and measuring house price trends in small geographic areas has been one of the most
More informationAPPLICATION OF GEOGRAPHIC INFORMATION SYSTEM IN PROPERTY VALUATION. University of Nairobi
APPLICATION OF GEOGRAPHIC INFORMATION SYSTEM IN PROPERTY VALUATION Thesis Presented by STEPHEN WAKABA GATHERU F56/69748/2013 Supervised by DR. DAVID NYIKA School of Engineering Department of Geospatial
More informationTown of Fairfield 2015 Revaluation Informational Meeting
www.vgsi.com Town of Fairfield 2015 Revaluation Informational Meeting Fairfield Revaluation Cycle Ct. Law states revaluations take place every 5 years Fairfield s last Revaluation was in 2010 All property
More informationGlossary of Terms & Definitions
Glossary of Terms & Definitions European AVM Alliance Independent - Transparent - Unbiased Key AVM Terms Term Definition Remarks Automated Model (AVM) AVM Performance AVM Coverage AVM Accuracy A system
More informationEVS Wolfgang Kaelberer, Hon REV. Global Valuation Opportunities and Challenges: European Valuation Standards
Global Valuation Opportunities and Challenges: European Valuation Standards EVS 2016 Wolfgang Kaelberer, Hon REV Member of the Board of TEGoVA Member of the EVS Standards Board 1 Resolved to: remain clearly
More informationAVM Validation. Evaluating AVM performance
AVM Validation Evaluating AVM performance The responsible use of Automated Valuation Models in any application begins with a thorough understanding of the models performance in absolute and relative terms.
More informationCook County Assessor s Office: 2019 North Triad Assessment. Norwood Park Residential Assessment Narrative March 11, 2019
Cook County Assessor s Office: 2019 North Triad Assessment Norwood Park Residential Assessment Narrative March 11, 2019 1 Norwood Park Residential Properties Executive Summary This is the current CCAO
More informationTERMS OF ENGAGEMENT Name of the firm. Previous involvement with the property or parties to the case:
The headings contained in this framework for terms of engagement are based directly upon the list of mandatory required content set out in VPS 1 para 3.1, page 39 and the commentary which follows on pages
More informationResidential Market Snapshot Podgorica. August 2017
PURPOSE OF THE RESEARCH The aim of our residential real estate market research was to analyse the actual apartment supply in Podgorica, having used the advertisements of the largest real estate portal
More informationPast & Present Adjustments & Parcel Count Section... 13
Assessment 2017 Report This report includes specific information regarding the 2017 assessment as well as general information about both the appeals and assessment processes. Contents Introduction... 3
More informationLITIGATING IN A MASS APPRAISAL ENVIRONMENT
11 th Mass Appraisal Valuation Symposium Innovation, Transformation, Knowledge Enhancement and Improved Efficiencies in Mass Appraisal Niagara Falls, Canada May 17-18, 2016 LITIGATING IN A MASS APPRAISAL
More informationInteragency Appraisal and
Interagency Appraisal and Evaluation (IAEG) Workshop Purpose (77456) Supersedes the 1994 Interagency Appraisal & Evaluation Guidelines Address supervisory matters relating to real estate appraisal and
More informationChapter 13. The Market Approach to Value
Chapter 13 The Market Approach to Value 11/22/2005 FIN4777 - Special Topics in Real Estate - Professor Rui Yao 1 Introduction Definition: An approach to estimating market value of a subject property by
More informationRESIDENTIAL PROPERTY PRICE INDEX (RPPI)
EUROSYSTEM RESIDENTIAL PROPERTY PRICE INDEX (RPPI) 2017Q1 Residential property prices continued to increase moderately in 2017Q1 1 The RPPI (houses and apartments) recorded the third consecutive marginal
More informationOffice Market Snapshot Podgorica H1 2017
Economy The main macroeconomic indicators of Montenegro, having highlighted only four of them, show a diversified picture of the current trends of the Montenegrin economy. The consumer prices increased
More informationVillage of Scarsdale
Village of Scarsdale VILLAGE HALL / 1001 POST ROAD / SCARSDALE, NY 10583 914.722.1110 / WWW.SCARSDALE.COM Village Wide Revaluation Frequently Asked Questions Q1. How was the land value for each parcel
More informationAssessment of mass valuation methodology for compensation in the land reform process in Albania
1 Assessment of mass valuation methodology for compensation in the land reform process in Albania Fatbardh Sallaku Agricultural University of Tirana, Department of AgroEnvironmental & Ecology Agim Shehu
More informationThe Accuracy of Automated Valuation Models
The Accuracy of Automated Valuation Models European Valuation Conference Belgrade 20 th -22 nd April 2017 Professor George Matysiak Agenda AVMs Examples of valuation accuracy More transparency Study work
More informationRecommendations for COD Standards. Robert J. Gloudemans Almy, Gloudemans, Jacobs & Denne. for. New York State Office of Real Property Services
Recommendations for COD Standards Robert J. Gloudemans Almy, Gloudemans, Jacobs & Denne for New York State Office of Real Property Services March 12, 2009 Recommendations for COD Standards Robert J. Gloudemans
More informationASSESSMENT METHODOLOGY
2018 ASSESSMENT METHODOLOGY MULTI-RESIDENTIAL MANUFACTURED HOME PARK A summary of the methods used by the City of Edmonton in determining the value of multi-residential manufactured home park land properties
More informationInternational Seminar on Strengthening Public Investment and Managing Fiscal Risks from Public-Private Partnerships
International Seminar on Strengthening Public Investment and Managing Fiscal Risks from Public-Private Partnerships Budapest, Hungary March 7 8, 2007 The views expressed in this paper are those of the
More informationOn 1 February 2013 the IVSC announced the release of an Exposure Draft dealing with amendments to IVS 2011.
29 April 2013 IVSC Standards Board International Valuation Standards Council 41 Moorgate LONDON EC2R 6PP Dear Sirs, Exposure Draft Amendments to the International Valuation Standards On 1 February 2013
More informationRelationship of age and market value of office buildings in Tirana City
Relationship of age and market value of office buildings in Tirana City Phd. Elfrida SHEHU Polytechnic University of Tirana Civil Engineering Department of Civil Engineering Faculty Tirana, Albania elfridaal@yahoo.com
More informationValuation and the Real Estate Market; a new paradigm for a new decade
Valuation and the Real Estate Market; a new paradigm for a new decade Nick French Professor in Real Estate & DTZ Fellow in Commercial Property Department of Real Estate & Construction Oxford Brookes University
More informationLLANO CENTRAL APPRAISAL DISTRICT REAPPRAISAL PLAN FOR TAX YEARS 2017 & 2018 AS ADOPTED BY THE BOARD OF DIRECTORS
LLANO CENTRAL APPRAISAL DISTRICT REAPPRAISAL PLAN FOR TAX YEARS 2017 & 2018 AS ADOPTED BY THE BOARD OF DIRECTORS TABLE OF CONTENTS ITEM PAGE Executive Summary 5 Revaluation Decision (Statutory or Administrative)
More informationAssessment Quality: Sales Ratio Analysis Update for Residential Properties in Indiana
Center for Business and Economic Research About the Authors Dagney Faulk, PhD, is director of research and a research professor at Ball State CBER. Her research focuses on state and local tax policy and
More informationIntroduction. Bruce Munneke, S.A.M.A. Washington County Assessor. 3 P a g e
Assessment 2016 Report This report includes specific information regarding the 2016 assessment as well as general information about both the appeals and assessment processes. Contents Introduction... 3
More informationStandard on Automated Valuation Models (AVMs)
Standard on Automated Valuation Models (AVMs) Approved September 2003 Revised approved July, 2018 Contents 1. Scope...4 2. Principles...4 3. Introduction...5 3.1 Definition of automated valuation model
More informationASSESSMENT METHODOLOGY
2018 ASSESSMENT METHODOLOGY COST APPROACH A summary of the methods used by the City of Edmonton in determining the value of residential and non-residential properties valued using the cost approach in
More informationEXPLAINING MASS APPRAISAL
EXPLAINING MASS APPRAISAL PROMOTING THE ROLE OF THE ASSESSOR MAAO SUMMER CONFERENCE, JUNE 24, 2015 RICHARD W. FINNEGAN, MAA Please excuse the length of this letter. I didn t have time to write a short
More informationFair value implications for the real estate sector and example disclosures for real estate entities. Applying IFRS in Real Estate
Applying IFRS in Real Estate IFRS 13 Fair Value Measurement Fair value implications for the real estate sector and example disclosures for real estate entities January 2013 Contents Introduction... 2 Section
More informationRESIDENTIAL PROPERTY PRICE INDEX (RPPI)
EUROSYSTEM RESIDENTIAL PROPERTY PRICE INDEX (RPPI) 2018 Q1 The residential property price index is still on an upward trend 1 The RPPI 1 (houses and apartments) increased by 0,6% in 2018Q1. This was the
More informationD DAVID PUBLISHING. Mass Valuation and the Implementation Necessity of GIS (Geographic Information System) in Albania
Journal of Civil Engineering and Architecture 9 (2015) 1506-1512 doi: 10.17265/1934-7359/2015.12.012 D DAVID PUBLISHING Mass Valuation and the Implementation Necessity of GIS (Geographic Elfrida Shehu
More informationInformation contained
Cadastral Integrity Unit Audit Survey Procedures August 2012 Table of Contents Introduction... 2 2. Objectives... 3 3. Roles, responsibilities and delegations... 4 3.1 Ethical conduct... 4 3.2 Workplace
More informationAn Assessment of Recent Increases of House Prices in Austria through the Lens of Fundamentals
An Assessment of Recent Increases of House Prices in Austria 1 Introduction Martin Schneider Oesterreichische Nationalbank The housing sector is one of the most important sectors of an economy. Since residential
More informationThe vdp Transaction Database as a Source for Commercial Property Price Indicators for Germany
The vdp Transaction Database as a Source for Commercial Property Price Indicators for Germany Andreas Kunert / Franz Eilers Frankfurt am Main, May 2012 Bank Credit Process and Legal Regulation as a Source
More informationThe Evolution of the AVM
The Evolution of the AVM William E. King Veros Real Estate Solutions Director of Valuation Initiatives AVMs as we know them today were introduced in the 1990s, but the birth of the computer-generated valuation
More informationMAAO Sales Ratio Committee 2013 Fall Conference Seminar
MAAO Sales Ratio Committee 2013 Fall Conference Seminar Presented By: Al Whitcomb Dakota County (Retired) John Keefe Chisago County Assessor Brent Reid City of Coon Rapids Michael Thompson Scott County
More informationCITY OF OWATONNA ASSESSMENT REPORT. Steele County Assessor s Department. William G. Effertz, SAMA Steele County Assessor
2017 CITY OF OWATONNA ASSESSMENT REPORT Steele County Assessor s Department William G. Effertz, SAMA Steele County Assessor Tyler Diersen, AMA, Assistant County Assessor April 11, 2017 2017 Assessment
More information*Predicted median absolute deviation of a CASA value estimate from the sale price
PLATINUMdata Premier AVM Products ACA The AVM offers lenders a concise one-page summary of a property s current estimated value, complete with five recent comparable sales, neighborhood value data, homeowner
More informationThe Improved Net Rate Analysis
The Improved Net Rate Analysis A discussion paper presented at Massey School Seminar of Economics and Finance, 30 October 2013. Song Shi School of Economics and Finance, Massey University, Palmerston North,
More informationASSESSMENT METHODOLOGY
2019 ASSESSMENT METHODOLOGY COMMERCIAL RETAIL AND OFFICE CONDOMINIUMS A summary of the methods used by the City of Edmonton in determining the value of commercial retail and office condominium properties
More informationRESIDENTIAL PROPERTY PRICE INDEX (RPPI)
EUROSYSTEM RESIDENTIAL PROPERTY PRICE INDEX (RPPI) Q3 The Residential Property Price Index continued to recover 1 The RPPI (houses and apartments) increased by 0,4% in Q3 1, its fifth consecutive quarterly
More informationCube Land integration between land use and transportation
Cube Land integration between land use and transportation T. Vorraa Director of International Operations, Citilabs Ltd., London, United Kingdom Abstract Cube Land is a member of the Cube transportation
More informationMinimum Educational Requirements
Minimum Educational Requirements (MER) For all persons elected to practice in each Member Association With effect from 1 January 2011 1 Introduction 1.1 The European Group of Valuers Associations (TEGoVA)
More informationAccounting for Tangible Capital Assets
Accounting for Tangible Capital Assets Date Approved by Board: 2011.11.17 Resolution No.: 11-113 2016.05.19 16-048 Lead Role: CFO Replaces: N/A Last Review Date: N/A Next Review Date: 2019.05.19 Policy
More informationREDSTONE. Regression Fundamentals.
REDSTONE from Bradford Advanced Analytics Technologies for Appraisers Regression Fundamentals www.bradfordsoftware.com/redstone Bradford Technologies, Inc. 302 Piercy Road San Jose, CA 95138 800-622-8727
More informationDeterminants of residential property valuation
Determinants of residential property valuation Author: Ioana Cocos Coordinator: Prof. Univ. Dr. Ana-Maria Ciobanu Abstract: The aim of this thesis is to understand and know in depth the factors that cause
More informationStrip Commercial. Market Value Assessment in Saskatchewan Handbook. Strip Commercial Properties Valuation Guide
Market Value Assessment in Saskatchewan Handbook Strip Commercial Saskatchewan Assessment Management Agency 2012 This document is a derivative work based upon a handbook entitled the "Market Value and
More informationIntroducing Property Valuation
Introducing Property Valuation Michael Blackledge Routledge Taylor & Francis Group LONDON AND NEW YORK Illustrations Cases Acknowledgements Disclaimers x xii xiv xv 1: Background 1 Economic context 3 1.1
More informationMidland Central Appraisal District BIENNIAL REAPPRAISAL PLAN
BIENNIAL REAPPRAISAL PLAN FOR THE TAX YEARS 2015 AND 2016 BY THE MIDLAND CENTRAL APPRAISAL DISTRICT BOARD OF DIRECTORS September 10, 2014 TABLE OF CONTENTS ITEM PAGE Executive Summary... 4 General Overview
More informationInteragency Guidelines Web seminar, February 10, 2011
Interagency Guidelines Web seminar, February 10, 2011 Questions from participants. The answers here are suggestive guidance only and should not be treated or considered legal or regulatory advice. You
More informationCENTER FOR PROFESSIONAL EDUCATION 9590 West 14 th Avenue Lakewood, CO (720)
CENTER FOR PROFESSIONAL EDUCATION 9590 West 14 th Avenue Lakewood, CO 80215 (720) 889-0797 Approved and Regulated by Division of Private Occupational Schools, Department of Higher Education, State of Colorado
More informationBusiness Valuation More Art Than Science
Business Valuation More Art Than Science One of the more difficult aspects of business planning is business valuation. It is also one of the more important aspects. While owners of closely held businesses
More informationDEPARTMENT OF ASSESSMENTS AND TAXATION 2008 RATIO REPORT
DEPARTMENT OF ASSESSMENTS AND TAXATION 2008 RATIO REPORT State of Maryland Department of Assessments and Taxation Office of the Director Martin O'Malley Governor C. John Sullivan Jr. Director June 30,
More informationAssessment Year 2016 Assessment Valuations / Mass Appraisal Summary Report
Assessment Year 2016 Assessment Valuations / Mass Appraisal Summary Report Overview Following up on last year s work, additional work was done cleaning up the sales data. The land valuation model was further
More informationChapter 7. Valuation Using the Sales Comparison and Cost Approaches. Copyright 2010 by The McGraw-Hill Companies, Inc. All rights reserved.
Chapter 7 Valuation Using the Sales Comparison and Cost Approaches McGraw-Hill/Irwin Copyright 2010 by The McGraw-Hill Companies, Inc. All rights reserved. Decision Making in Commercial Real Estate Centers
More informationTable of Contents 2015 Commercial Revaluation Report
Table of Contents 05 Commercial Revaluation Report 05 Commercial & Industrial Valuation Summary Introduction Uniform Standards Approaches to Value Land Valuation Land to Building Ratios Parking to Building
More informationFILE: EFFECTIVE DATE: May 15, 2013 AMENDMENT: 1
APPROVED AMENDMENTS: Effective Date Briefing Note /Approval Summary of Changes: June 1, 2011 BN 175892 Policy and Procedure update to reflect reorganization of resource ministries April 2011 May 15, 2013
More informationUsing Hedonics to Create Land and Structure Price Indexes for the Ottawa Condominium Market
Using Hedonics to Create Land and Structure Price Indexes for the Ottawa Condominium Market Kate Burnett Isaacs Statistics Canada May 21, 2015 Abstract: Statistics Canada is developing a New Condominium
More informationThe future development of Post War Single-Family Housing Estates in Germany
At the crossroads: The future development of Post War Single-Family Housing Estates in Germany Andrea Berndgen-Kaiser, Dipl.-Ing. Architect, Research Institute for Regional and Urban Development London,
More informationPVD Foreclosure Related Sales Guidelines
Introduction PVD Foreclosure Related Sales Guidelines The purpose of this paper is to provide guidance to county appraisers in dealing with the high volume of foreclosure related sales, also known as REO
More informationDIRECTIVE # This Directive Supersedes Directive # and #92-003
Division Of Property Valuation Docking State Office Building 915 SW Harrison St., Room 400N Topeka, KS 66612-1588 Nick Jordan, Secretary David N. Harper, Director phone: 785-296-2365 fax: 785-296-2320
More informationPROPERTY ASSESSMENT KNOWLEDGE
A P E N DE UM NOUN A COLLECTION OF CONCISE BUT DETAILED INFORMATION ABOUT APPRAISAL AND APPRAISAL MANAGEMENT, ESPECIALLY IN THE PROPERTY ASSESSMENT INDUSTRY. PROPERTY ASSESSMENT KNOWLEDGE KNOWLEDGE AREAS
More informationRegression + For Real Estate Professionals with Market Conditions Module
USER MANUAL 1 Automated Valuation Technologies, Inc. Regression + For Real Estate Professionals with Market Conditions Module This Regression + software program and this user s manual have been created
More informationCollateral Underwriter, Regression Models, Statistics, Gambling with your License
Collateral Underwriter, Regression Models, Statistics, Gambling with your License Keith Wolf, SRA, AI-RRS Kwolf Consulting Inc. Kwolf1021@gmail.com 05/20/2015 There are Lies, Damned Lies and Statistics
More informationCourse Residential Modeling Concepts
Course 311 - Residential Modeling Concepts Course Description Course 311 presents a detailed study of the mass appraisal process as applied to residential property. Topics covered include a comparison
More informationRESIDENTIAL PROPERTY PRICE INDEX (RPPI)
CENTRAL BANK OF CYPRUS EUROSYSTEM RESIDENTIAL PROPERTY PRICE INDEX (RPPI) Q4 The residential property price index is on an upward trend 1 The RPPI (houses and apartments) increased by 0,4% in Q4. Increases
More informationA GIS - Based Model for Market Analysis, Valuation and Management of Residential Properties into the Greek Real Estate Market
A GIS - Based Model for Market Analysis, Valuation and Management of Residential Properties into the Greek Real Estate Market Stefanos GIANNOULAKIS, Nikolaos KARANIKOLAS, Agapi XIFILIDOU, Greece Key words:
More informationThe influence of an appraiser switch on the valuation of Dutch real estate
The influence of an appraiser switch on the valuation of Dutch real estate A quantitative data research for Bouwinvest on the variances in the valuation of Dutch Real Estate caused by appraiser switching
More informationCornerstone 2 Basic Valuation of Machinery and Equipment
INSTITUTE FOR PROFESSIONALS IN TAXATION PERSONAL PROPERTY TAX SCHOOL Cornerstone 2 Basic Valuation of Machinery and Equipment Learning Objectives At the end of this section, the learner will be able to:
More informationBUSI 452 Case Studies in Appraisal II
BUSI 452 Case Studies in Appraisal II PURPOSE AND SCOPE The Case Studies in Appraisal II course (BUSI 452) is a continuation of BUSI 442. This course is intended to introduce further practical applications
More informationValuation Presentation for the Residents of the Central Hill Estate
Valuation Presentation for the Residents of the Central Hill Estate Introduction Jeremy Perceval FRICS RPR Founder and Managing Director of SFP Property Jeremy is a fellow of the Royal Institution of Chartered
More informationExamples of Quantitative Support Methods from Real World Appraisals
Examples of Quantitative Support Methods from Real World Appraisals Jeffrey A. Johnson, MAI Integra Realty Resources Minneapolis / St. Paul Tony Lesicka, MAI Central Bank 1 Overview of Presentation EXAMPLES
More informationCourse Number Course Title Course Description
Johns Hopkins Carey Business School Edward St. John Real Estate Program Master of Science in Real Estate and Course Descriptions AY 2015-2016 Course Number Course Title Course Description BU.120.601 (Carey
More information