Valuation - VPS Flashcards
What is VPS 1?
VPS 1 refers to the Terms of Engagement under IVS 101 Scope of Work, which outlines mandatory matters to confirm in writing to the client before commencing a valuation.
What must be confirmed in writing to the client prior to a valuation?
The following minimum matters must be confirmed:
1. Identification and status of the valuer
2. Identification of the client
3. Identification of any other intended users
4. The asset to be valued
5. Currency
6. Purpose of the valuation
7. Basis of value
8. Valuation date
9. Extent of investigation
10. Nature and source of the information to be relied upon
11. Assumptions and special assumptions to be made
12. Format of the report
13. Restrictions for use, distribution and publication
14. Confirmation of Red Book Global/IVS compliance
15. Fee basis
16. Complaints handling procedure to be made available
17. Statement that the valuation may be subject to compliance by the RICS
18. Limitation on liability agreed.
