<abstract xmlns="http://www.w3.org/1999/xhtml"><p>Property valuation in the comparative approach requires the determination of the impact of market characteristics on the formation of prices on the local real estate market. Valuers have a variety of methods for determining weights. Some of them require the collection of a sufficiently large database of information on transactions. However, this is not always possible. In the absence of sufficient data, alternative approaches, including an expert approach, may be used. The goal of the article is the proposal of an expert approach at the stage of assessing the influence of attributes on the value of the real estate. The AHP (Analytical Hierarchy Process) method will be used. On its basis, pairwise comparisons of the importance of attributes will be done by experts (valuers). By means of the AHP method, the weights of each attribute will be obtained and, subsequently, the influence of each attribute on the real estate value will be assessed. Research will be done on the basis of 318 real estates in Szczecin.</p></abstract>

Property valuation in the comparative approach requires the determination of the impact of market characteristics on the formation of prices on the local real estate market. Valuers have a variety of methods for determining weights. Some of them require the collection of a sufficiently large database of information on transactions. However, this is not always possible. In the absence of sufficient data, alternative approaches, including an expert approach, may be used. The goal of the article is the proposal of an expert approach at the stage of assessing the influence of attributes on the value of the real estate. The AHP (Analytical Hierarchy Process) method will be used. On its basis, pairwise comparisons of the importance of attributes will be done by experts (valuers). By means of the AHP method, the weights of each attribute will be obtained and, subsequently, the influence of each attribute on the real estate value will be assessed. Research will be done on the basis of 318 real estates in Szczecin.

Application of AHP Method in Assessment of the Influence of Attributes on Value in the Process of Real Estate Valuation

Real Estate Management and Valuation

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 3.0 License.

Property valuation in the comparative approach requires the determination of the impact of market characteristics on the formation of prices on the local real...

Application of AHP Method in Assessment of the Influence of Attributes on Value in the Process of Real Estate Valuation

Published Online: Dec 16, 2019

Page range: 15 - 26

DOI: https://doi.org/10.2478/remav-2019-0032

Keywords
real estate valuation, AHP method, real estate market

© 2019 Krzysztof Dmytrów et al., published by Sciendo

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 3.0 License.

Application of AHP Method in Assessment of the Influence of Attributes on Value in the Process of Real Estate Valuation

Published Online: Dec 16, 2019

Page range: 15 - 26

DOI: https://doi.org/10.2478/remav-2019-0032

Keywordsreal estate valuation, AHP method, real estate market

© 2019 Krzysztof Dmytrów et al., published by Sciendo

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 3.0 License.

Keywords
real estate valuation, AHP method, real estate market