Property valuation for accounting purposes

Art of Value provides property valuations supporting financial reporting and accounting needs, with the scope and valuation purpose agreed to reflect the intended recipient's requirements.

When is a valuation needed?

An organisation may need a valuation for financial reporting, accounting treatment or an update to property asset values, depending on its applicable accounting framework and intended use.

Property assets

The scope can include land, buildings, investment property and other real estate, subject to the asset's characteristics and available evidence.

How the assignment works

1. Agree the purpose, intended users, basis of value, valuation date and scope.
2. Review property information and available documents.
3. Inspect the property as required and analyse relevant market evidence.
4. Select and apply appropriate valuation methods.
5. Prepare a report documenting assumptions, reasoning and the opinion of value.

Information needed

Ownership, location, area and use are usually relevant. Accounting information, leases or additional documents may be requested where needed.

What the report includes

The purpose, scope, asset information, basis and date of value, relevant information and assumptions, chosen methods and the evidence supporting the professional opinion of value.

How does this differ from sale or financing valuations?

The purpose and intended users can change the scope, assumptions and information requirements. We establish the accounting purpose and relevant framework before preparing the report.