NEWS & BLOGS EXCLUCIVELY FOR INFORMATION TO ENGINEERS & VALUERS COMMUNITY
The term fire insurance refers to a form of property insurance that covers damage and losses caused by fire. Most policies come with some form of fire protection, but homeowners may be able to purchase additional coverage in case their property is lost or damaged because of fire. Purchasing additional fire coverage helps to cover the cost […]
FIRE INSURANCE ALL YOU NEED TO KNOW Read More »
SARFAESI Act cannot override Rent Control Laws Tenants cannot be evicted using provisions of SARFAESI Act: Supreme Court SARFAESI Act cannot override Rent Control Laws; Tenants cannot be evicted using provisions of SARFAESI Act: Supreme Court A tenant cannot be arbitrarily evicted by using the provisions of the SARFAESI Act as that would amount to
Can SARFAESI Act override Rent Control Laws Supreme Court Order Read More »
VALUE OF LESSOR’S INTEREST Value of Lessor’s interest in land would comprise of following three parts based on rights held by Lessor as per lease terms. The capitalized value of lease rent receivable from the Lessee under a lease contract, for the unexpired period of the lease. Present value of the right of reversion of
VALUE OF LESSOR’S INTEREST & LESSEE’S INTEREST Read More »
Yield refers to the earnings generated and realized on an investment over a particular period of time, and is expressed in terms of percentage based on the invested amount. Yield includes the interest earned or dividends received from holding a particular security. Depending on the valuation (fixed vs. fluctuating) of the security, yields may be
MEANING OF YIELD AND ITS TYPES Read More »
In the evaluation of investment projects the discounted cash flow method can provide a useful means of testing financial feasibility. The discount rate will generally be the minimum rate of return required by the investor over the period of the cash flow. If the total of the discounted cash flow over the period is zero
Book value Method In Book Value Method, historic cost of the asset in the year of acquisition is taken as basis and with the help of cost index figures (Multiplying factors for different years, indicating price rise in the market due to inflation and other factors like variation in cost of materials and labour), replacement
TYPES OF ESTIMATING COST OF CONSTRUCTION Read More »
Physical depreciation This is very common. The physical depreciation occurs due to usage of the asset. It is the normal wear and tear of the asset. All similar objects do not observe similar depreciation. Quantum of this depreciation depends on several factors. Manner of usage Environmental aspect Natural forces aspects Accidental Aspects Economic obsolescence: These
TYPES OF DEPRECIATIONS Read More »
A property valuer is a real estate professional who helps determine the value of a piece of land or building. A property valuer works with clients who want to refinance their property to reduce their mortgage rates. They typically provide pre-sale advice to land or property owners who want to determine the selling value of
PROPERTY VALUER ROLES AND RESPONSIBILITIES Read More »
To ensure mutual co-operation amongst members by free interchange of opinion and experience. To endeavor to protect the profession of valuation concerning all categories from misrepresentation and misunderstanding. To express an opinion only when it is founded on adequate knowledge and honest conviction if he is serving as a witness before a court or commission.
ETHICS IN VALUATION PROFESSION Read More »
Water pollution is defined as the presence of impurities or alteration of its physical, chemical or biological characteristics which is harmful and may cause destructive effects on human as well as the health of the environment. The water which is not chemically pure but chemically inert, and which is free from any physical and biological
This technique of land valuation is also an indirect method of deriving land rate by residual technique and not by direct comparison of open land sales. This technique involves the preparation of a hypothetical building project scheme first. Then valuer is required to work out sale value of flats/shops designed and planned under a hypothetical
HYPOTHETICAL BUILDING SCHEME (OWNERSHIP CONCEPT) Read More »
When we value a property by rental method, in cases of terminable interest, we may have to resort to the reversionary value of the land. There is lot of confusion amongst the valuers about validity and existence of this concept due to misconception of basic fundamentals. The reasons for this confusion is the Calcutta High
REVERSIONARY VALUE Read More »