ABSTRACT
This chapter considers the key aspects of value, in relation to real estate, and the core purposes, concepts, and terminology of valuation. It is aimed at those that are new to valuation, or those who are experienced, and expert, in other fields but might need to refresh their memories of valuation.
The basis of value and the purposes of valuation are outlined. A review of the scope and purpose of the Red Book is supplied. The purpose and content of a valuation report are considered. Finally, definitions and explanations of return and yields are offered.
There are many RICS guidance notes and professional statements referred to that were in force at the time of writing. You should be aware that these are constantly being reviewed and updated to reflect changes in the valuation environment so you will need to check with the RICS website for the most recent edition.
