A Practical Guide to Valuation Methods for Surveyors
It is a mandatory requirement that any chartered surveyor providing a written valuation report for clients must be registered for the RICS Valuer Registration Scheme and to be fully conversant with the requirements of the RICS Valuations - Professional Standards 2017 (The 'Red Book').
However, the Red Book itself and IVS 105 provide little in the way of practical details of the use of the five valuation methods.
This live broadcast session will cover practical aspects of valuations for the Red Book, relating to choice and use of the various valuation methodologies and reporting, particularly for commercial property valuations.
The session will be interactive and practical with participants undertaking valuations and participating in group exercises. The session is at introductory level.
What You Will Learn
This live broadcast session will cover the following:
- The bases of value as defined by the RICS/IVS in the latest edition of the Red Book
- The three valuation approaches as defined by the RICS Red Book and IVS and their application when valuing for loan purposes (mortgage) and financial reporting (accounts) in accordance with RICS Valuation - Global Standards July 2017 and RICS Valuation - Global Standards 2017 UK national supplement
- What advice does the RICS give regarding use of comparable evidence?
- What specific reporting requirements are there for valuations prepared using DRC method?
- The three valuation approaches as set out in the Red Book and how they relate to the five methods of valuation
- The requirements of the RICS Red Book as well as referring to guidance notes and other information papers:
- The use of three valuation approaches as defined in IVS and RICS Red Book
- Comparison method and RICS guidance
- Investment method - both traditional and DVF
- Residual appraisal method
- Profits method
- Depreciated replacement cost method
- The choice of the appropriate method. with reference to case law such as Tribunal of Moulins (1951), Phillips Petroleum Company Iran v Iran (1979), Rossivest Co UK Ltd v Russian Federation (2010), Clinker & Ash Ltd v Southern Gas Board (1965) and Mon Tresor v Ministry of Housing and Lands (2008)
- Valuation of unusual properties and unusual circumstances
Recording of live sessions: Soon after the Learn Live session has taken place you will be able to go back and access the recording - should you wish to revisit the material discussed.