Valuation Flashcards
1
Q
What is the residual valuation method?
A
Used for calculating land value.
GDV - costs + profit
Includes DCF
2
Q
What is the profits method?
A
- hotels, theatre, cinema
3
Q
What is depreciate replace cost method?
A
- values specialist buildings ie mosques and schools
- DRC = market value - accumulated depreciation
4
Q
What is the investment method?
A
- used for tenanted properties
- gross rent - deductions (maintenance etc) = net rent / yield = end value
5
Q
What is an all risks yield
A
Annual rent income / value of property x 100
6
Q
How did you calculate the surrender value?
A
DCF
7
Q
Guidance on valuation?
A
RICS valuation global standards 2022
