A registered valuer in Queensland is valuing a specialised property such as a church with no comparable sales data available. The most appropriate primary valuation method would be:
Correct Answer
C) Summation: land value plus the depreciated replacement cost of the improvements
For specialised properties with limited comparable sales and no income stream (such as churches, schools, or hospitals), the summation (cost) approach is most appropriate. It estimates the land value separately and adds the depreciated replacement cost of the improvements.
Why This Is the Correct Answer
Where there are no comparable sales and no income, the valuer builds the value from its parts: land value from vacant land sales, plus the replacement cost of the buildings less depreciation. That is the summation (cost) approach.
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A Queensland property owner disagrees with the Valuer-General's valuation of their land. The owner may:
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