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Message from B K Aruna 06.09.2023

Ten points to be noted with regard to IVS :

1. IVS stands for International Valuation Standards having its head quarters in United Kingdom.

2. IVS revises the standards periodically.

3. Though there are 8 assets standards as per IVS 2022, the standards connected with real estate are :

IVS 400 Real property interests IVS 410 Development property

4. The basis of valuation for secured lending is normally “Market value”.

5. IVS has not prescribed any valuation formats.

6. IVS has not prescribed any fee structure for doing valuation.

7. The IVS has not prescribed any age limit for valuers to do valuation.

8. The IVS has not defined about “Realisable value”.

9. The IVS does not say anything about empanelment procedure by the banks and also the procedure to be adopted for SARFAESI valuation.

10. According to the guidelines issued by IBA or Banks, the valuers

(i) must do valuation which comply with International Valuation Standards

(ii) must give a declaration that they have read the International Valuation Standards and the report submitted by them is in conformity to the “Standards” as enshrined for valuation in the IVS in “General Standards” and “Asset Standards” as applicable.

With best wishes,

B. KANAGA SABAPATHY
[email protected]
www.bkanagasabapathy.com