E11 Appraise and value property
E11.2 Evaluate property for appraisal and valuation
Performance Criteria - this involves being able to...(a)identify the information needed for the appraisal and valuation and collate it
(b)check and confirm, before starting the appraisal and valuation, that people who will be affected have given their permission
(c)select evaluation methods and techniques which are appropriate to the type of property and which meet the requirements of professional standards and codes of practice
(d)take accurate observations and measurements which are necessary for the appraisal and valuation and record them to meet agreed formats and conventions
(e)analyse documents accurately to meet the requirements of the appraisal and valuation process which has been agreed
(f)select evidence for assessing value which is accurate, complete and relevant
(g)analyse all the relevant evidence and information, and calculating a realistic assessment of value which can be used to make sound and justifiable judgments and provide advice
(h)keep internal records which are clear, accurate and complete, and which conform to accepted professional and statutory requirements / The Range...
[1]Information - sources:
• client instructions;
• statutory basis and assumptions;
• precedent case law;
• investigations (contextual, market, economic, legal and regulatory factors)
[2]Appraisal and valuation:
• sale;
• purchase;
• letting;
• obtaining finance;
• accounting;
• rating;
• compulsory purchase;
• compensation;
• taxation;
• insurance;
• dilapidation;
• depreciation;
• tenant right;
• easement and wayleave;
• lease extension
[3]Evaluation methods and techniques:
• comparison;
• contractor’s test;
• discounted cash flow;
• profits;
• residual;
• investment;
• statutory;
• replacement cost method
[4]Type of property:
• real property (commercial, retail, industrial, agricultural, residential);
• personal property (fine art, chattels, plant and machinery)
[5]Conventions:
• relevant professional bodies guidance;
• in house
E11 Appraise and value property
E11.2 Evaluate property for appraisal and valuation
The Evidence - performance and processProduct Evidence:
(1)Record(s) of evaluation methods and techniques which have been selected which include collated information and confirmation of permissions (a,b,c,h) [1,2,3,4]
(2)Record(s) of observations and measurements (d,h) [2,5]
(3)Assessment(s) of value which include analysis of documents and evidence (e,f,g,h) [1,2]
Process Evidence:
None applicable / The Evidence - knowledge and understanding
(1)What do you identify as the information needed for the appraisal and valuation? (understanding) (a) [1,2]
(2)How do you collate the information needed for the appraisal and valuation? (application) (a) [1,2]
(3)How do you check and confirm that the people affected by the appraisal and valuation, have given their permission? (application) (b) [2]
(4)How and why do you analyse documents to meet the requirements of the appraisal and valuation process? (analysis) (e) [2]
(5)How do you calculate a realistic assessment of value which can be used to make sound and justifiable judgments and provide advice? (application) (g) [2,3]
(6)How and why do you analyse all the relevant evidence and information? (analysis) (g) [1,3]
(7)How and why do you select evidence for assessing value? (evaluation) (f) [2,3]
(8)How and why do you select evaluation methods and techniques? (evaluation) (c) [3,4]
(9)How do you take accurate observations and measurements which are necessary for the appraisal and valuation and record them to meet formats and conventions? (application) (d) [2,5]
(10)How do you keep internal records? (application) (h) [5]