Agricultural land has conventionally been perceived primarily as a production factor. For this reason the highest and best use （HBU） of such land was considered to be agricultural production for income purposes. The...Agricultural land has conventionally been perceived primarily as a production factor. For this reason the highest and best use （HBU） of such land was considered to be agricultural production for income purposes. The transition towards a multifunctional agricultural land market, where alternative uses--such as for lifestyle purposes--is evident, has challenged this view. Lifestyle buyers of farms often focus on a variety of characteristics of agricultural land which are not necessarily related to income but usually more intangible and subjective, which pose a measurement problem for valuers. The continued use of familiar traditional farming characteristics when valuing agricultural properties where lifestyle motivations are present, and the exclusion of less measurable characteristics, means that the market sales comparison method cannot be executed accurately. This study used a mixed methods research strategy to determine whether valuers use characteristics mainly related to agricultural production as HBU in valuations of agricultural properties bought for lifestyle purposes, and to identify the value attributes of farms that attract lifestyle buyers （and whether these differ from production oriented buyers）. This was done in an intensive and extensive agricultural area within the Western Cape Province of South Africa. Results indicate that valuers use familiar production related characteristics when valuing farms bought for lifestyle purposes, while lifestyle and production oriented buyers also interpret the value attributes of agricultural properties differently. For this reason a multiple perspective approach to agricultural land valuations where the HBU is uncertain is proposed.展开更多
As an independent price appraisal service, real estate appraisal should follow the principles of objectivity, impartiality and science. The implementation of valuation services must follow the price rule. The appraise...As an independent price appraisal service, real estate appraisal should follow the principles of objectivity, impartiality and science. The implementation of valuation services must follow the price rule. The appraisers use their own professional knowledge to discover the value of the appraised object through appraisal activities and gradually summarize the standards and criteria to be followed in real estate appraisal activities. These standards are the principles of real estate appraisal. How to correctly grasp the principles of real estate appraisal and objectively and reasonably evaluate the value of the appraised object requires professional analysis and handling by valuers. In this paper, the principle of the highest and best use, which is often not fully analyzed and has prominent contradictions in the appraisal activities, is selected for analysis and discussion, which has certain significance for maintaining the healthy development of this industry.展开更多
The real estate sector is vital for ensuring human needs for living and activity. This fact conditioned the formation of a legal, normative and methodological framework specific to real estate, but also the investment...The real estate sector is vital for ensuring human needs for living and activity. This fact conditioned the formation of a legal, normative and methodological framework specific to real estate, but also the investment attractiveness of the field. Thus, the real estate consultant often solves technical, economic, legal, organizational problems, but the biggest responsibility rests with investment consulting. The applied methodologies, focused on evaluating the efficiency of investments, are not sufficient to propose to the investor a reasoned conclusion regarding the investment priority. In this article, the authors propose a useful tool for real estate consultants in order to reason the decision regarding the investment of funds in commercial real estate for the purpose of renting it out—the Maximum Global Utility (MGU) method. It is proposed to include in the analysis and the way of calculating the indicator “importance level of the real estate” which reflects the criterion of the best use. This indicator ensures the flexibility of the decision depending on the quality characteristics of the real estate.展开更多
文摘Agricultural land has conventionally been perceived primarily as a production factor. For this reason the highest and best use （HBU） of such land was considered to be agricultural production for income purposes. The transition towards a multifunctional agricultural land market, where alternative uses--such as for lifestyle purposes--is evident, has challenged this view. Lifestyle buyers of farms often focus on a variety of characteristics of agricultural land which are not necessarily related to income but usually more intangible and subjective, which pose a measurement problem for valuers. The continued use of familiar traditional farming characteristics when valuing agricultural properties where lifestyle motivations are present, and the exclusion of less measurable characteristics, means that the market sales comparison method cannot be executed accurately. This study used a mixed methods research strategy to determine whether valuers use characteristics mainly related to agricultural production as HBU in valuations of agricultural properties bought for lifestyle purposes, and to identify the value attributes of farms that attract lifestyle buyers （and whether these differ from production oriented buyers）. This was done in an intensive and extensive agricultural area within the Western Cape Province of South Africa. Results indicate that valuers use familiar production related characteristics when valuing farms bought for lifestyle purposes, while lifestyle and production oriented buyers also interpret the value attributes of agricultural properties differently. For this reason a multiple perspective approach to agricultural land valuations where the HBU is uncertain is proposed.
文摘As an independent price appraisal service, real estate appraisal should follow the principles of objectivity, impartiality and science. The implementation of valuation services must follow the price rule. The appraisers use their own professional knowledge to discover the value of the appraised object through appraisal activities and gradually summarize the standards and criteria to be followed in real estate appraisal activities. These standards are the principles of real estate appraisal. How to correctly grasp the principles of real estate appraisal and objectively and reasonably evaluate the value of the appraised object requires professional analysis and handling by valuers. In this paper, the principle of the highest and best use, which is often not fully analyzed and has prominent contradictions in the appraisal activities, is selected for analysis and discussion, which has certain significance for maintaining the healthy development of this industry.
文摘The real estate sector is vital for ensuring human needs for living and activity. This fact conditioned the formation of a legal, normative and methodological framework specific to real estate, but also the investment attractiveness of the field. Thus, the real estate consultant often solves technical, economic, legal, organizational problems, but the biggest responsibility rests with investment consulting. The applied methodologies, focused on evaluating the efficiency of investments, are not sufficient to propose to the investor a reasoned conclusion regarding the investment priority. In this article, the authors propose a useful tool for real estate consultants in order to reason the decision regarding the investment of funds in commercial real estate for the purpose of renting it out—the Maximum Global Utility (MGU) method. It is proposed to include in the analysis and the way of calculating the indicator “importance level of the real estate” which reflects the criterion of the best use. This indicator ensures the flexibility of the decision depending on the quality characteristics of the real estate.
