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The Relation Between Cost, Market Value And Transaction Price, In The Current Context Of The Residential Real Estate Market

Author

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  • Carmen Maria Dindiri

    (University of Craiova Faculty of Economics and Business Administration)

Abstract

The material approaches the complex relation between cost, value and price in case of real estate properties, analyzed in the context of evaluation mission exercised by a specialist in the field. Therewith, this material illustrates the influence of particularities of the real estate market on the establishment of the market value of residential properties and also the specific elements which the evaluation shall consider within the professional approach in order to formulate an opinion. This shall consider, in addition to the previsions of evaluation standards, the selfregulating mechanism of the market by means of the report between demand and offer, and the inter-relation, in this context, between the three concepts mentioned.

Suggested Citation

  • Carmen Maria Dindiri, 2014. "The Relation Between Cost, Market Value And Transaction Price, In The Current Context Of The Residential Real Estate Market," Annals of University of Craiova - Economic Sciences Series, University of Craiova, Faculty of Economics and Business Administration, vol. 2(42), pages 83-90.
    • Handle: RePEc:aio:aucsse:v:2:y:2014:i:42:p:83-90
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    File URL: http://feaa.ucv.ro/AUCSSE/0042v2-012.pdf
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    More about this item

    Keywords

    cost; value; price; real estate market; demand; offer;
    All these keywords.

    JEL classification:

    • D23 - Microeconomics - - Production and Organizations - - - Organizational Behavior; Transaction Costs; Property Rights
    • D46 - Microeconomics - - Market Structure, Pricing, and Design - - - Value Theory
    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development

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