Pedro Fernandes and Amaro Laia recently published two articles as part of the Postgraduation in Real Estate Management and Valuation, addressing key topics for understanding property valuation processes, the determination of value and the evolution of methodologies applied to the sector.
Valuing a property: more than just a guess – it’s a science with real impact (and an art!)
In the article published in Observador, the authors analyse the importance of property valuation as a technical and specialised activity, highlighting its impact on financial, asset-related and strategic decisions.
Throughout the analysis, the idea is emphasised that valuing a property goes far beyond simply estimating a price. The process requires the application of rigorous methodologies, international standards and specialist knowledge, involving factors such as defining the basis of value, the use of comparable data and the decisive role of valuation experts.
The article also addresses the challenges associated with the growing use of automated valuation models (AVMs), emphasising the need for technical validation and professional oversight to ensure reliable and consistent results.
Find out more and read the full article here.
Capital growth in real estate discount rates: a survey on rental and capital growth in Portuguese residential properties
In a research article published in the Journal of European Real Estate Research, Pedro Fernandes and Amaro Laia examine the impact of growth expectations on the discount rates used in residential property valuation processes.
Drawing on statistical data and a survey of industry professionals in Portugal, the research seeks to understand how experts incorporate future growth expectations into valuation models and identifies the challenges associated with applying these methodologies in practice.
Among the main conclusions, particular attention should be paid to the identification of potential limitations in the use of comparable capitalisation rates without due consideration of implied growth rates, a situation which could introduce distortions into the valuation.
The study also sets out practical recommendations in line with the international standards EVS 2025, RICS 2025 and IVS 2025, helping to enhance methodological rigour and advance professional practices in residential valuation.
Find out more and read the full article here.
