Evaluation methods used in the real estate management
9/2004 , p81..88
Author(s):
Cristian Silviu BANACU
Keywords:
Real estate, methods of evaluation , cash flow method, cost method, direct comparison method
Abstract:
The principal methods used to evaluate the real estate market are :direct comparation, cost method,cash flow method and the method of corection coefficiants.The direct compartion method has as a means of determining the value of an estate by comparing it to other estates on the market. The cost method is used when the direct method is limited by some considerents like unicity,novelty,etc. The construction method is applyed in the case of a building that will be build with the price of an existing building . The substiturion method has at it base the principle that the existing building can be evaluated and compared to a building that was there on the land before it.
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