17127 Valuation Methodology
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Credit points: 6 cp
Result type: Grade and marks
There are course requisites for this subject. See access conditions.
Description
This subject focuses on the role, functions and obligations of the valuation profession and the purpose for which valuations are undertaken. It explores the concepts of different types of value, different interests in property, general valuation principles and case law. This subject also engages students in learning valuation methods, including the Market Approach - Comparable Transactions Method, Cost Approach and Income Approach. The subject prepares the students to be able to apply the different methods of valuation to different property types. Subsumed in the methods of valuation are the concepts of identifying risk and accounting for risk. An overview of valuation reporting standards is also discussed. A basic knowledge of a spreadsheet program such as Microsoft Excel is assumed.
Subject learning objectives (SLOs)
On successful completion of this subject, students should be able to:
| 1. | Understand the various types of valuation reports and their purpose. |
|---|---|
| 2. | Identify the valuers role and the valuation standards. |
| 3. | Assess the value of property using various valuation approaches. |
| 4. | Prepare a valuation report incorporating the appropriate standards and analysis. |
Course intended learning outcomes (CILOs)
This subject also contributes to the following Course Intended Learning Outcomes:
- Effectively apply a variety of communication skills and technologies in professional contexts (C.1)
- Demonstrate a comprehensive theoretical understanding of property valuation methodologies together with the capacity to prepare valuation assessments to a professional standard (P.1)
- Apply a theoretical and practical understanding of research methods to the investigation and analysis of property markets (P.2)
- Apply a comprehensive understanding of property market drivers and key risk analysis techniques applicable to contemporary industry based practice (P.3)
- Apply appropriate technical analytic skills to a professional standard (P.8)
Contribution to the development of graduate attributes
The term CAPRI is used for the five Design, Architecture and Building faculty graduate attribute categories where:
C = communication and groupwork
A = attitudes and values
P = practical and professional
R = research and critique
I = innovation and creativity
Course intended learning outcomes (CILOs) are linked to these categories using codes (e.g. C-1, A-3, P-4, etc.).
Content (topics)
- The role and expertise of valuers
- Different types of interests in land that could have an impact on value or could be valued separately
- Market Value and other types of Value
- How property markets operate to provide evidence of market transactions
- Precedents set by court cases in establishing guidance for valuations
- The Market Approach method and application.
- The Cost Approach method and application.
- The Income Approach method and application.
- Identifying different Risks associated with different property types and how they may be accounted for within a valuation.
- The impact of economic, political and statutory factors that can impact on the demand and supply of property that affects value.
- Valuation Report compilation.
Assessment
Assessment task 1: Quiz
| Intent: | To understand the purpose and role of valuers, valuation reports incorporating valuation standards, and key drivers of Value. | ||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Objective(s): | This task addresses the following subject learning objectives: 1 and 2 This task also addresses the following course intended learning outcomes that are linked with a code to indicate one of the five CAPRI graduate attribute categories (e.g. C.1, A.3, P.4, etc.): P.1, P.3 and P.8 | ||||||||||||||||
| Type: | Quiz/test | ||||||||||||||||
| Weight: | 30% | ||||||||||||||||
| Criteria linkages: |
SLOs: subject learning objectives CILOs: course intended learning outcomes |
Assessment task 2: Valuation Report
| Intent: | The preparation of a valuation report. | ||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Objective(s): | This task addresses the following subject learning objectives: 2, 3 and 4 This task also addresses the following course intended learning outcomes that are linked with a code to indicate one of the five CAPRI graduate attribute categories (e.g. C.1, A.3, P.4, etc.): C.1, P.1 and P.2 | ||||||||||||||||
| Type: | Report | ||||||||||||||||
| Weight: | 30% | ||||||||||||||||
| Criteria linkages: |
SLOs: subject learning objectives CILOs: course intended learning outcomes |
Assessment task 3: Class Test
| Intent: | Applications of Cost Valuation Approaches | ||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Objective(s): | This task addresses the following subject learning objectives: 1, 2, 3 and 4 This task also addresses the following course intended learning outcomes that are linked with a code to indicate one of the five CAPRI graduate attribute categories (e.g. C.1, A.3, P.4, etc.): C.1, P.1 and P.3 | ||||||||||||||||||||
| Type: | Examination | ||||||||||||||||||||
| Weight: | 40% | ||||||||||||||||||||
| Criteria linkages: |
SLOs: subject learning objectives CILOs: course intended learning outcomes |
Minimum requirements
Students must achieve at least 50% of the subject’s total mark.