Transcript Land Valuation - Universitas Brawijaya

VALUASI
NILAI PROPERTI LAHAN
Real property valuation
Metode Valuasi
Teori Valuasi
Terori Nilai
Valuation is both a
Science and an Art!
TEORI NILAI
Platon (427 – 347 BC)
- division of labour (specialization) contributes to higher efficiency
(The State)
Aristoteles (384 – 322 BC)
- on exchange, money, prices and value (Politics and Ethics)
Adam Smith (1723 – 1790)
- distinction between Utility value and Exchange value
(An inquiry into the nature and causes of the wealth of nations,
1776)
TEORI NILAI
Karl Marx (1818 – 1883)
- connections to Aristoteles and the distinction between utility value and exchange value. The latter is a reflection of
the labour which is spent on the specific
commodity Marx claimed.
(Das Kapital, 1867, 1885, 1894)
Hernando de Soto (1940 - )
- on the causes to wealth differences in
the world and why capitalism triumphs
in the west but fails everywhere else.
(The Mystery of Capital, 2000)
Teori Nilai
Background factors:
The Swedish Hand-book
Fastighetsvärdering (Real
Estate Valuation):
- Utility/Benefit
- Scarcity
- Need
- Use/disposition
rights
- Transfer rights
Teori Nilai
Background factors:
The Appraisal of Real Estate
Part I, Chapter 2 page 19:
- Utility/Benefit
- Scarcity
- Desire
- Effective purchase
power
Value theory
Background factors - a summary:
-
Utility/Benefit
Scarcity
Desire/Need
Effective purchase
power
- Use/disposition
rights
- Transfer rights
Teori Nilai
-
Utility/Benefit
Scarcity
Desire/Need
Effective purchase
power
- Use/disposition
rights
- Transfer rights
The first two factors are related to the
supply side of economy and human
Teori Nilai
• A consequence of:
– Valuation factors for real property
–
–
–
–
–
Social ideals and standards
Economic activities and trends
Government regulations and activities
Physical or environmental forces
Location factors
• Depends on people´s desires
• Depends on future benefits
• The value can not be calculated,
it can only be estimated
Real property valuation
Valuation is both a Science and an Art!
Valuation includes components
and knowledge of:
-mathematics
-statistics
-physical (land) planning
-urban planning
-rural planning/agriculture
-building construction
-sociology/human behaviour
-common sense/feeling
Real property valuation
Literature:
- Handouts
- The Appraisal of Real Estate:
Part 1 Fundamentals
Chapter 2 The Nature of Value
(pages 19 – 31)
Real property valuation
Valuation Methods
Valuation Theory
Value Theory
Valuation is both a
Science and an Art!
Teori Valuasi
Aristoteles (322-284 BC)
- subjective utility value
Adam Smith (1723-1790)
- utility value, exchange value
David Ricardo (1772-1823)
Thomas Malthus (1766-1834)
Relation between subjective yield value
and market value
Seller
Buyer
Buyer´s
yield value
Area for presumptive
transaction
Seller´s
yield value
Teori Valuasi
Classical scholars:
-Smith
-Ricardo
-Malthus
Their basic theory was a sort of
“price theory” where they emphasized the influence of production
costs on the value but where the
demand factor was supressed.
Teori Valuasi
The classical scholars could not suffi-ciently explain many
valuation problems and the Neo-classical
appeared:
scholars
Stanley Jevons (1835 - 1882)
Leon Walras (1834 - 1910)
Alfred Marshall (1842 - 1924)
Ernst Laur (1871 - 1964)
The most prominent feature of their ideas were “The margin
theory”
(Margin utility, margin cost and margin income)
The demand component was important for the value, not only
the production cost
Teori Valuasi
Modern economists with influence on
value theory and valuation theory
are:
Frederic Babcock
(The Valuation of Real Estate, 1932)
Richard Ratcliff
(Modern Real Estate Valuation, Theory and Application,
1968)
Teori Valuasi
• Market value
– The most probable price of a property on the open
market
– Used in most cases
• Net income value
– The present value of future yearly net income
– Used e.g. for
- investment decisions
- market simulation
• Cost value
– Replacement costs minus depreciation
– Used e.g. for
- insurance compensation
- market simulation
Metode Valuasi
Price = Value = Cost
(The Appraisal of Real Estate, 12th edition, Chapter 2
page 19 -20)
Definition of market value (1)
Number
of
transfers
Price
Market value
The most probable price of the property on the open market
Definisi Nilai Pasar
-
Some key elements:
“ asset”
“ the estimated amount”
“ a property should exchange”
“ on date of valuation”
“ between a willing buyer”
“ a willing seller”
“ in an arm´s-length transaction”
“ after proper marketing”
“ wherein the parties had each acted knowledgeably”
“ and without compulsion”
Metode Valuasi
• Sales comparison approach
• Income capitalisation approach
• Cost approach
When searching for a market value,
the income and cost methods are
market simulating methods!
Sales comparison approach
• Identification and selection of real properties purchased in
a comparable market area
• Objects are made comparable...
• ...and adjusted according to purchase dates (price trends)
or other differencies
• Mean price of the selected purchases = estimated market
value
Information needed
• Information about the purchase
– Price
– Date of sale
– Seller
– Buyer
• Information about the real property
– Land use
– Land area
– Building: size, age, standard etc.
– Other special conditions
Seller: Mr Ek
Buyer: Mrs Alm
Date: 04-09-15
Price: 1 200 000
etc.
Pendekatan Kapitalisasi Pendapatan
SEK/
USD
Remaining
value
Yearly net
income
0
1
2
3
etc . . . .
n
Year
The current value of future yearly net income and remaining value at the end of the
calculation period
Pendekatan Kapitalisasi Pendapatan
4 methods:
• Sales price / square meter
• Sales price coefficient
• Gross capitalisation factor
• Net capitalisation percent
Information needed
• Information about the real
property:
– Land use
– Land area
– Building: size, age, standard
etc.
– Yearly costs and incomes
– Other special conditions
Pendekatan Biaya
SEK/
USD
Replacement
costs
Depreciation 3.5 %/year
Cost of land
0
Replacement costs
Depreciation 10 years 3,5 %
Cost of land
Cost value
10
1 000
- 350
200
850
Cost
value
Age (years)
Informasi yg diperlukan
• General information
– Average replacement
costs
– Depreciation - time and
percent
– Average value of land
• Information about the real
property
– Land use
– Land area
– Building: size, age,
standard etc.
– Other special conditions
Real property valuation
Notice - a frequent mistake
!
Economics
Mathematics
Statistics
GIS
Land
planning
Sociology
Common
sense
Others
Real property valuation
Recommendation - a balanced and appetizing mix !
Economics
Land
planning
Mathematics
Statistics
GIS
Sociology
Others
Common
sense