A Study of Valuation Clients Perception on Mortgage Valuation Reliability

Adegoke, O.J. and Olaleye, A. and Oloyede, S. A. (2013) A Study of Valuation Clients Perception on Mortgage Valuation Reliability. African Journal of Environmental Science and Technology, 7 (7). pp. 585-590. ISSN 1996-0786

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Abstract

The effect of overvaluation and undervaluation cannot be over emphasized in any economy. Valuation opinions are very crucial to the operations and business dealings of the clients that seek valuer’s advice in decision making. Wrong opinion of value has caused strain in many business dealings. This paper studies the perception of clients on reliability of mortgage valuation in Nigeria. A sample size of 50 lending institutions was randomly chosen representing 57.5% of the target population in Lagos State, the study area. The study used descriptive statistic to analyse the data. The study reveals that clients are of the opinion that valuations produced by valuers were not reliable. This is as a result of the experiences they were having with large disparity between the final opinion of values of those properties on default mortgage that were foreclosed and the final sales price. The study therefore concludes that the estate surveyors and valuers in the country owe their clients a duty of care by presenting accurate and reliable valuation reports since other stakeholders of the real property investors depend on these reports for their investment decisions

Item Type:	Article
Subjects:	T Technology > T Technology (General)
Divisions:	Faculty of Engineering, Science and Mathematics > School of Civil Engineering and the Environment
Depositing User:	Mr Solomon Bayoko
Date Deposited:	26 Feb 2014 12:56
Last Modified:	26 Feb 2014 12:56
URI:	http://eprints.covenantuniversity.edu.ng/id/eprint/2164

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