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German Income Approach
The German income approach (German: Ertragswertverfahren, abbr. EWV) is the standard income approach used in Germany for the real estate appraisal , valuing of property that produces a stream of future cash flows. Basic principles and regulations The EWV is one of three valuation methods codified by German legislation. The ''Vergleichswertverfahren'' (sales comparable approach) is mainly used to determine the value of owner-occupied buildings (single-family houses, condominiums) and land. The ''Sachwertverfahren'' (cost approach) is only used for special use properties that do not produce a measurable future cash flow. Subsequently, the EWV is used for the vast majority of appraisals. Even though the EWV is mostly consistent with international practice, there are some important differences: *Land and improvements are treated separately. German Generally Accepted Valuation Principles (GAVP) assumes that the land can be used indefinitely, but that buildings have a limited lifesp ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Income Approach
The income approach is a real estate appraisal valuation method. It is one of three major groups of methodologies, called valuation ''approaches'', used by appraisers. It is particularly common in commercial real estate appraisal and in business appraisal. The fundamental math is similar to the methods used for Valuation (finance), financial valuation, securities analysis, or bond pricing. However, there are some significant and important modifications when used in real estate or business valuation. While there are quite a few acceptable methods under the rubric of the income approach, most of these methods fall into three categories: direct capitalization, discounted cash flow, and gross income multiplier. Direct capitalization This is simply the quotient of dividing the annual net operating income (NOI) by the appropriate capitalization rate ("cap rate"). For income-producing real estate, the NOI is the net income of the real estate (but not the business interest) plus any i ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Discounted Cash Flow
The discounted cash flow (DCF) analysis, in financial analysis, is a method used to value a security, project, company, or asset, that incorporates the time value of money. Discounted cash flow analysis is widely used in investment finance, real estate development, corporate financial management, and patent valuation. Used in industry as early as the 1700s or 1800s, it was widely discussed in financial economics in the 1960s, and U.S. courts began employing the concept in the 1980s and 1990s. Application In discount cash flow analysis, all future cash flows are estimated and discounted by using cost of capital to give their present values (PVs). The sum of all future cash flows, both incoming and outgoing, is the net present value (NPV), which is taken as the value of the cash flows in question; see aside. For further context see ; and for the mechanics see valuation using discounted cash flows, which includes modifications typical for startups, private equity and ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Real Estate Valuation
Real estate appraisal, home appraisal, property valuation or land valuation is the process of assessing the value of real property (usually market value). The appraisal is conducted by a Appraiser, licensed appraiser. Real estate transactions often require appraisals to ensure fairness, accuracy, and financial security for all parties involved. Appraisal reports form the basis for Mortgage, mortgage loans, settling Estate (land), estates and Divorce, divorces, taxation, etc. Sometimes an appraisal report is also used to establish a sale price for a property. Factors like size of the property, condition, age, and location play a key role in the valuation. Process for Obtaining an Appraisal Appraisals are often required by lenders for issuing or refinancing a loan. In such cases, when the borrower asks the lender for a loan or a refinance, the lender will order an appraisal. Once ordered, the borrower will have to schedule an appointment with the appraiser for the in-home visit. ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Real Estate In Germany
Real may refer to: Currencies * Argentine real * Brazilian real (R$) * Central American Republic real * Mexican real * Portuguese real * Spanish real * Spanish colonial real Nature and science * Reality, the state of things as they exist, rather than as they may appear or may be thought to be * Real numbers, the set of rational and irrational numbers (and opposed to imaginary numbers) * The Real, an aspect of human psychic structure Sports Africa * Real Republicans FC (Accra), Ghana * Real Republicans F.C. (Sierra Leone) Central and South America * Club Real Potosí, Bolivia * Municipal Real Mamoré, Bolivia * Associação Esportiva Real, Brazil * Real Noroeste Capixaba Futebol Clube, Brazil * C.D. Real Sociedad, Honduras * Real C.D. España, Honduras *Real Maya, Honduras * Real Club España, Mexico * Real Saltillo Soccer, Mexico * Real Sociedad de Zacatecas, Mexico *Real Estelí Baloncesto, Nicaragua * Real Estelí F.C., Nicaragua *Real Madriz, Nicaragua *Real Garcilaso, P ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Neil Crosby
Neil Crosby is an academic valuer, Professor of Real Estate at the University of Reading.http://www.emeraldinsight.com/journals.htm?articleid=844986&show=abstract ("Neil Crosby is a Professor in the Department of Land Management and Development, University of Reading") He has been instrumental in changing property valuation practices in the United Kingdom through a series of journal publications in the late 1980s and early 1990s, which dealt with questions of investment property valuation methodology, and through an influential book (''Property Investment Appraisal'', co-authored with Andrew Baum and now nearing its third edition). The RICS adopted the 'Short-cut DCF' method (a.k.a. the 'Real-value' method) proposed by Crosby, in the 1997 Valuation Information Paper: ''Commercial Investment Property - Valuation Methods''. In 2002, he was awarded the International Real Estate Society's annual achievement award for his work in real estate research, education and practice. See a ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Real Estate Business
Real estate business is the profession of buying, leasing, managing, or selling real estate (commercial, industrial, residential, or mixed-use development, mixed-use premises)."Real estate": Oxford English Dictionary online: Retrieved September 18, 2011 Marketing and sales It is common practice for an intermediary to provide real estate owners with dedicated sales and marketing support in exchange for commission (remuneration), commission. In Northern America, this intermediary is referred to as a real estate agent, real estate broker or Real estate agent#Realtor, realtor; whilst in the United Kingdom, the intermediary would be referred to as an estate agent. In Australasia, they are known as real estate agents, real estate sales representatives, property consultants, property managers, leasing agents, or simply the agents. There have been various studies to detect the determinants of housing prices to this day, mostly trying to examine the impacts of structural, locational and ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Pricing
Pricing is the Business process, process whereby a business sets and displays the price at which it will sell its products and services and may be part of the business's marketing plan. In setting prices, the business will take into account the price at which it could acquire the goods, the manufacturing cost, the marketplace, competition, market condition, brand, and quality of the product. Pricing is a fundamental aspect of product management and is one of the four Ps of the marketing mix, the other three aspects being product, promotion, and Distribution (business), place. Price is the only revenue generating element among the four Ps, the rest being cost center (business), cost centers. However, the other Ps of marketing will contribute to decreasing price elasticity and so enable price increases to drive greater revenue and profits. Pricing can be a manual or automatic process of applying prices to purchase and sales orders, based on factors such as a fixed amount, quantit ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Income Approach
The income approach is a real estate appraisal valuation method. It is one of three major groups of methodologies, called valuation ''approaches'', used by appraisers. It is particularly common in commercial real estate appraisal and in business appraisal. The fundamental math is similar to the methods used for Valuation (finance), financial valuation, securities analysis, or bond pricing. However, there are some significant and important modifications when used in real estate or business valuation. While there are quite a few acceptable methods under the rubric of the income approach, most of these methods fall into three categories: direct capitalization, discounted cash flow, and gross income multiplier. Direct capitalization This is simply the quotient of dividing the annual net operating income (NOI) by the appropriate capitalization rate ("cap rate"). For income-producing real estate, the NOI is the net income of the real estate (but not the business interest) plus any i ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Sales Comparison Approach
The sales comparison approach (SCA) is a real estate appraisal valuation method that relies on the assumption that a matrix of attributes or significant features of a property drive its value. For examples, in the case of a single family residence, such attributes might be floor area, views, location, number of bathrooms, lot size, age of the property and condition of property. This method is in contrast to the two other main pricing methods for real estate which are cost approach and income approach. Economic Basis The sales comparison approach is based upon the principles of supply and demand, as well as upon the principle of substitution. Supply and demand indicates value through typical market behavior of both buyers and sellers. Substitution indicates that a purchaser would not purchase an improved property for any value higher than it could be replaced for on a site with equivalent utility, assuming no undue delays in construction. Examples of Methods In practice, the most c ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Cost Approach
Cost approach is a real estate appraisal valuation method used to price an individual property.Uniform Standard of Professional Appraisal Practice, 2008, Appraisal Foundation, Standards Rule 1-4(b) p. U18 It is one of three methods, the others being market approach, or sales comparison approach, and income approach. The fundamental premise of the cost approach is that a potential user of real estate will not, or should not, pay more for a property than it would cost to build an equivalent. The cost of construction minus depreciation, plus land, therefore is a limit, or at least a metric, of market value. Methodology There are some fairly large assumptions embedded in the approach. One of the basics is that there is a sufficient supply of buildable land that construction is a viable alternative to purchase of an existing property. In some parts of the world today, including in the US, there are areas which are either so fully developed, or so restrictive in their planning approv ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Cell Site
A cell site, cell phone tower, cell base tower, or cellular base station is a cellular frequencies, cellular-enabled mobile device site where antenna (electronics), antennas and electronic communications equipment are placed (typically on a Radio masts and towers, radio mast, tower, or other raised structure) to create a cell, or adjacent cells, in a cellular network. The raised structure typically supports antenna and one or more sets of transmitter/receivers transceivers, digital signal processors, control electronics, a GPS receiver for timing (for CDMA2000/IS-95 or GSM systems), primary and backup electrical power sources, and sheltering. Multiple cellular providers often save money by mounting their antennas on a common shared mast; since separate systems use different frequencies, antennas can be located close together without interfering with each other. Some provider companies operate multiple cellular networks and similarly use colocated base stations for two or more ce ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Real Estate Appraisal
Real estate appraisal, home appraisal, property valuation or land valuation is the process of assessing the value of real property (usually market value). The appraisal is conducted by a licensed appraiser. Real estate transactions often require appraisals to ensure fairness, accuracy, and financial security for all parties involved. Appraisal reports form the basis for mortgage loans, settling estates and divorces, taxation, etc. Sometimes an appraisal report is also used to establish a sale price for a property. Factors like size of the property, condition, age, and location play a key role in the valuation. Process for Obtaining an Appraisal Appraisals are often required by lenders for issuing or refinancing a loan. In such cases, when the borrower asks the lender for a loan or a refinance, the lender will order an appraisal. Once ordered, the borrower will have to schedule an appointment with the appraiser for the in-home visit. The appraiser will visit the property, a ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
