It Has Been Said That the Comparison Method of Valuation Is the Best Method. Do You Agree with This Statement?

It has been said that the Comparison Method of Valuation is the silk hat order. Do you agree with this statement? It has been said that the Comparison Method of Valuation is the best method. I personally agree to this statement but I regard there is no perfect valuation method. All methods have advantages and disadvantages. Valuers ever so prefer to use the comparative method for assessing market valuate or market rent, because it links directly to evidence of current market transactions.The different methods profits, residual, contractors and investment are use when the comparative method chamberpotnot be utilise with full confidence. The semblance method is used to value the main types of lieu for example houses shops offices and standard warehouses and factories. These are regularly sold or let in the market giving plenty of evidence to support an discernment of rental value or market value of similar properties. The comparison method poop be used to calculate the mark et value of the plaza and the rental as well all another(prenominal) methods can provide results for one or the other.So this method is mainly used because it provides solid evidence of the propertys value. All other methods can be manipulated by the valuer. This is the reason why the comparison method is the solely acceptable method for court usage. When there is little or no evidence of comparable with(predicate) market transactions the valuer needs to stand in the shoes of the most likely purchaser or tenant to usurp their thinking and calculations they might carry out when assessing how much to pay for the property concerned. To perform a valuation with the comparison method The valuer needs to be fully aware of the current economic conditions * The market should be electrostatic * There should be plenty of evidence of recent deal in similar properties * In Size * Condition * Age * Area * grammatical case As I notice today it is truly hard to bechance comparable market transactions simply because there are very few transactions done. But even when we do find comparable date the market is so unstable that they arent reliable. The comparison method of valuation is also a basic component of each of the other methods.It plays a vital role in the Investment method. In the first of all stage of the investment method we need to analyze property sale transactions to establish the relationship between rental income and the capital prices of late paid by investors. So we basically use the comparable info from the comparison method to find a throw or a multiplier which expresses the relationship between rent and capital. And finally we use this yield and the rental income of a property to calculate the current value.