Market Appraisal Flashcards
(7 cards)
What document has the UK commercial estate agency professional statement 2016 been superseded by?
The property agency and management principles 2024
Please can you outline to me the structure of the UK commercial estate agency professional statement 2016
12 key principles
Areas covered include:
Securing instruction
Acting ethically
Marketing Property
Implementing the disposal
Acquisition of property
On market appraisal, it states as a surveyor you should obtain comparable data to inform the price. You should also take into account whether prices have risen or fallen since the date of these transactions. You should always inspect the property, to understand the condition and ask the client any questions which may impact the value of the property such as restrictions in the lease. All advice should be put into writing and you should advise on the expected lease terms. You should record and document all advice given and comparables received.
What are some of the key principles?
Sets out 12 - some examples…
Conduct business in a honest, fair, transparent and professional manner.
Avoid conflicts of interest and deal with them openly, Fairly and promptly.
Avoid discrimination.
Ensure you have sufficient professional indemnity insurance.
Ensure all marketing is honest and truthful.
Ensure all client money is handed separately
Ensure a terms of engagement is available which is fair and clear.
Communicate with the client fairly, clearly and ensure this is transparent.
What are some wider macro economic issues which are impacting the retail sector?
In the autumn 2024 budget, the chancellor announced that the national insurance contribution would rise to 15% from 13.8%. Rising national insurance increases wages for firms and so impacted their profits. The costs of importing goods and materials has also risen.
What is the current vacancy rate across the West End?
The West End’s retail vacancy rate is currently 2.2% - it has reduced for 10 consecutive quarters. 1.4% on Oxford Street.
Why do you still use the commercial estate agency proffesional statement if it has been superseded?
The document property agency management principles which has superseded is extremely high-level and does not go into detail relating to market appraisals. I’m aware more standard documents are set to be released.
