VALUATIONS IN ACCORDANCE WITH IVS/EVS STANDARDS
The service of valuing real estate can be obtained for any property, plant, and equipment or enterprise capital in the territory of Montenegro.
The valuation process involves providing an expert opinion on value and determining the value of real estate based on a systematic approach, which includes the following activities:
- Physical and legal identification of the asset being valued (subject of valuation):
- Apartments Family houses / villas
- Residential-commercial buildings
- Commercial spaces
- Factories
- Business complexes
- Hotel complexes
- Under-construction facilities
- Land
2. Identification of property rights being valued (documentation):
- Real estate deed (apartments, commercial spaces – condominium)
- Copy of the plan (family houses, residential-commercial buildings, business complexes, land)
- Sales contract Extract from the urban plan (family houses, residential-commercial buildings, business complexes, land)
- Project documentation (family houses, residential-commercial buildings, business complexes)1
3. Determination of the purpose of the valuation:
- Securing loans for individuals or companies
- Determining the amount of non-cash contribution in the formation of the share capital of a company
- Audit of the accounting value in financial statements
- Application of International Financial Reporting Standards – IFRS 16
- Determination of liquidation value in the case of forced sale or bankruptcy
- Determining the amount of investment in the reconstruction of facilities
- Property insurance
- Transaction operations
- Real estate transactions – assisting the seller in determining an acceptable price, or assisting the buyer in determining the offered price of the property
- Inheritance divisions
4. Determination of the effective date of valuation (time frame in which the valuation is performed)
5. Collection and analysis of data necessary for the application of the selected valuation method;
6. Selection and application of valuation methods;
7. Conclusion on value and report preparation.”
