An Estate Surveyor and Valuer (otherwise known and referred to simply as a VALUER or an APPRAISER in some countries) could be described as follows:
- a person who determines or estimates the worth or value in monetary terms at a specified date and for a specified purpose of the proprietary rights encompassed in ownership. A Valuer is that practitioner who has the knowledge and expertise necessary to estimate the value of an asset of every nature.
- a person who possesses the necessary qualifications, ability, and experience to execute a valuation.
- someone that has been duly registered by the Estate Surveyors and Valuers Registration Board of Nigeria (ESVARBON), and he is charged with the responsibilities of directing and supervising of interests in landed properties, and carrying out the practice of estate management in general and with the assiduous observance of the requisite professional ethics.
Ideally, a Valuer acts independently of the buying and selling parties in a landed transaction in order to arrive at the objective capital/selling value of such asset without any iota of bias. The Valuer is often called upon by his/her many clients of diverse background (in both private and public sectors) to carry out the valuation of real estate assets of many kinds and for many purposes as may be required by his respective clients.
In Nigeria, the activities of an Estate Surveyor and Valuer are backed by Estate Surveyors and Valuers (Registration, etc.) CAP E13 LFN, 2007.
The Valuer’s Roles
Valuers may work in private practice, for a business concern with substantial property holdings, or within a local authority or other government parastatal or department, or he/she may opt for self-employment but whichever way the Valuer choose to go, Shacklady (2006) outlined typical activities of Valuers as follows:
- valuing properties by applying expert knowledge and awareness of the local property market;
- taking accurate measurements of sites and premises;
- assessing the impact of a major development in terms of economic viability and environmental impact assessment;
- purchasing land and gaining funding;
- project management from project conceptualisation stage to commissioning entailing visiting sites at all stages of development, from green field to foundations and completed building;
- writing detailed reports on property for purposes such as rent reviews, investment potential, valuations for varying purposes, marketability and building surveys;
- negotiating with confidence, orally and/or in writing, on issues such as rents;
- selling and buying properties and sites on behalf of clients;
- advising clients on the purchase and sale of individual investments and managing large property portfolios (specialising as a property investment surveyor);
- applying appropriate law for landlord and tenant negotiations and the enforcement of health and safety regulations, e.g. facilities management;
- managing all kinds of property on behalf of a landlord to meet the landlord’s contractual obligations, ensuring compliance with the conditions of the tenancy, collecting rents and handling building maintenance and repair (specialising as a Management Surveyor);
- working closely with other professionals such as town planners, architects, highways and structural engineers in considering new developments (specialising as a Development Surveyor);
- assessing properties for business rates, capital taxation, acquisitions and disposals of assets.
The Valuer’s expectations
A Valuer is expected to assess the market value; therefore, it is pertinent for a Valuer to possess the requisite qualifications (both academic and professional), knowledge, experience and exposure of market sentiments, which means, that he should have adequate knowledge in subjects/fields such as economics, commerce, taxation, law, engineering, and regulatory norms governing commercial or individual transactions, to be able to ascertain their impact on market value. No one can be considered to be competent to assess such market value, if he/she lacks the necessary knowledge in any of the above referred fields. Every Valuer is therefore expected to be a duly qualified person; must be versatile; have the capacity; and the sagacity. He/she must be able to apply his/her experience to appropriately determine the worth of a given asset specifically within the context of given purpose and prevailing time. However, these basic qualifications and required experience are not enough; he/she must keep abreast of changing legislations, emerging economic trends and the constantly shifting market forces.
The Valuer’s other value-determination based professional activities include property management, marketing of real estate products such as land and/or buildings whereby he/she often acted as an agent for his/her clients in the purchase, leasing or sale. As a matter of fact, the Valuer is generally involved with professional activities that bother on real estate acquisition, disposal, management and valuation of land and buildings. In the exercise of these activities, it is possible to specialise in development, investments, rating, planning or consultancy.
