Real Estate Appraisal Case

In China’s socialist market economy, real estate as a commodity, its components of prices and operation mechanism are more diversity and complexity than other commodities’ prices. What’s more, the prices of real estate will directly involve in a real benefit of developers, investors, government agencies and financial institutions. So it has very important significance to determine the price of real estate scientifically and legitimately.There is a very important role for real estate appraisal to ensure the realization of real estate transactions, maintain the stability of the real estate market order and promote the development of the real estate market. Over the last decade, with the rapid development of China’s real estate industry, real estate appraisal industry as a real estate broker faces a rare development opportunity. At the same time, it needs more requirement to enhance the credibility of the results of real estate valuation and enhance the ability that real estate appraisers provide a reference value for the economic behavior. So it has a realistic and long-term significance to improve the level of real estate valuation, regulate the behavior of real estate valuation, and enhance the authority of the real estate valuation.According to the real estate valuation’s theory, principles, procedures, methods, and relevant laws, regulations and norms, this article proposes some relative measures and sound advices with theories and methods of related disciplines by analyzing the case of a live class construction in the valuation of real estate collateral.In the process of choosing the case of real estate appraisers, it should follow the principle of the completeness, representativeness, and the feature that could research of a case and should choose the case of a live class construction in the valuation of real estate collateral as a research object. In this case, my research object is construction projects of the residential building which are not part of the sales, and its value point is January 20, 2014, and its valuation purposes is to assess the value of real estate collateral according to ensure the real estate mortgage loan amount of valuation of the object. In the entire valuation process, according to analysis the factors affecting the market price of valuation of the object, with the method of suppose development act and costing, the market price of valuation of the object in value point is 72778275 Yuan, and the statutory priority claim money as real estate appraisers knows is 0 Yuan, and the collateral value of valuation of the object in value point is 72778275 Yuan.The innovation of this paper is to make an in-depth analysis for the best way to take advantage of the valued objects, the background of market valuation, the profitability of the valuation object and valuation risk, and then get some revelation, finally put forward their own views to improve the quality of real estate valuation reports, enhance the credibility of the results of real estate valuation and reduce the risk of real estate valuation, as follows:When analysis the market background of the valuation of the object, we have to combine valuation of the object and the purpose of the valuation, make a detailed description and analysis from macro to micro, timely focus the dynamic nature of the real estate market, grasp the economic data, market data timeliness, accuracy, reasonably predict future market conditions and make the description and analysis of scientific, rational for the market background of the valuation of the object.When determine the best way to take advantage of the valuation object, we should make use of several possible ways to compare or analyze before selecting, not only use the feasibility of the current use patterns as the sole basis of the optimal use patterns.In the real estate appraisal, in order to scientifically and reasonably determine the future of real estate and cash liquidity risk, we should try our best to accurately determine the various trends of every factors’ value. We should also analyze and determine the risks and uncertainties that may encounter in the future. Finally we should grasp the country’s macroeconomic, real estate market, the introduction and changes in circumstances and relevant laws, regulations and policies timely and effective.