Valuation is the estimation of the capital value or rental value of land and or buildings at a certain time. Valuations in PNG are governed by the Valuations Act (Chapter 327). The valuation of any property, no matter the size or location is a professional task and should not be taken for granted by the client. The Valuation Act clearly spells out who is capable of undertaking a valuation and it is the responsibility of the client to ascertain the credentials of the Valuer undertaking the valuation of his property. All Valuers are registered and clients are to ensure that they deal with only registered Valuers. At Arthur Strachan, all are valuations are undertaken by qualified and registered Valuers who have several years experience in valuations.
Valuations are required for various purposes:
The valuation provided by the registered Valuer is a professional opinion of the value of the property and is recognised by banks, government agencies and international organisations. Valuation involves a rigorous process and the Valuer uses various techniques to arrive at his final opinion of value. It is supported by market evidence and gives the client the basis on which the value was obtained. Whether it is a residential, commercial, industrial or agricultural property, it is essential that you have a professional valuation opinion.
Due to the different purposes for which different valuations are required, it is important to discuss with your Valuer your precise requirements. Very often, most clients require the "market value" of a property. This is the best price at which the sale of an interest in property might reasonably be expected to have been completed unconditionally on the date of valuation, after proper marketing, wherein both parties acted reasonably, prudently and without compulsion". It is also possible for the client to request the existing use value, the open market rental value. Your registered Valuer should be able, after initial discussions, to advise on your precise requirements.
After preliminary discussions with our Valuers, it is possible to request one of the following types of valuation reports:
This is a single page document giving the purpose of the valuation, a brief description of the property, the interests being valued, the date of valuation and the opinion of value. This is often adequate for stamp duty assessment or for VAT purposes.
This is a more comprehensive document that in addition to the information provided in the summary valuation, outlines the various methods used by the Valuer in arriving at an opinion of value. It also undertakes a critical assessment of market activity to arrive at the final opinion of value. This is often required for loan financing and other financial purposes.
The fee charged for any valuation is based on the professional scale of fees of the PNG Institute of Valuers and Land Administrators. It is a graduated scale, implying that the higher the value of the property, the higher the valuation fee. Fees for summary valuations are lower than for full valuation reports. For more details and a free quote please contact us.
At Arthur Strachan, professionalism is our hallmark. Our three Valuers are professionally qualified, internationally recognised and locally registered. This ensures that reports are of international standards but at the same time are based on local legislation and market knowledge. Our Valuers have international experience in several aspects of valuation, including, but not limited to asset valuations, balance sheet valuations, insurance valuations, market valuations and plant, compensation valuations and equipment valuations. Our Valuers rely on accepted international professional standards and ethics.
Do not take valuations lightly. An unprofessional valuation undertaken by an unregistered Valuer could cost you less fees but could be very expensive for you in the long run because it will not be recognised by any financial or government institution and could also be full of mistakes. Always rely on your registered Valuer for professional advice and to ensure you are dealing with a qualified and registered Valuer, always ask for his credentials and his registration number. It could mean the difference between a good purchase/sale and a bad purchase/sale.
If you want a valuation to be undertaken, please contact us on the following numbers or send us an e-mail: