Get 20M+ Full-Text Papers For Less Than $1.50/day. Start a 14-Day Trial for You or Your Team.

Learn More →

Valuation of residential property: analysis of participant behaviour

Valuation of residential property: analysis of participant behaviour The comparative method of valuation is based on valuers interpreting prices agreed in the open market to arrive at an opinion of value. This requires the consideration of a diverse range of variables and an assessment of their relative impact. Behavioural analysis using an independent sample of buyers and valuers operative in the Belfast residential market indicates that there are statistically significant differences between the two sample groups in the scoring and ranking of variables. In particular valuers are shown to place a greater emphasis on environmental or neighbourhood effects. Discusses the outcome of this empirically‐based research and analyses whether differences in the treatment of variables between the valuer and buyer samples are reflected in different price and value distributions. The results indicate that valuation accuracy to within 5 per cent of transaction price is not upheld; rather it is argued that a 10 per cent threshold has greater credibility. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Journal of Property Valuation and Investment Emerald Publishing

Valuation of residential property: analysis of participant behaviour

Loading next page...
 
/lp/emerald-publishing/valuation-of-residential-property-analysis-of-participant-behaviour-1r0Fcuyfhr
Publisher
Emerald Publishing
Copyright
Copyright © 1996 MCB UP Ltd. All rights reserved.
ISSN
0960-2712
DOI
10.1108/14635789610107453
Publisher site
See Article on Publisher Site

Abstract

The comparative method of valuation is based on valuers interpreting prices agreed in the open market to arrive at an opinion of value. This requires the consideration of a diverse range of variables and an assessment of their relative impact. Behavioural analysis using an independent sample of buyers and valuers operative in the Belfast residential market indicates that there are statistically significant differences between the two sample groups in the scoring and ranking of variables. In particular valuers are shown to place a greater emphasis on environmental or neighbourhood effects. Discusses the outcome of this empirically‐based research and analyses whether differences in the treatment of variables between the valuer and buyer samples are reflected in different price and value distributions. The results indicate that valuation accuracy to within 5 per cent of transaction price is not upheld; rather it is argued that a 10 per cent threshold has greater credibility.

Journal

Journal of Property Valuation and InvestmentEmerald Publishing

Published: Mar 1, 1996

Keywords: Buyers; Comparative method; Housing; Pricing; Valuers

References