IDEAS home Printed from https://ideas.repec.org/a/sae/urbstu/v48y2011i11p2265-2281.html
   My bibliography  Save this article

Of Mice and Men

Author

Listed:
  • Manya Mooya

    ()

Abstract

The rise in the use of Automated Valuation Models (AVMs) poses questions about the long-term survival of the property valuation profession. AVMs provide quick and cheaper valuations which in this very competitive market-place put them at a distinct advantage over traditional approaches. This article engages with the normative question of whether AVMs could completely replace traditional valuers and whether it is appropriate to do so. Going to ‘first principles’, this paper builds an alternative conception of market value in terms of which both AVMs and traditional valuations are argued to be based on false ontological assumptions. The paper locates both AVMs and traditional valuations in the social processes in which market value is created. The paper concludes that there are no theoretical or practical reasons why AVMs should not completely replace traditional valuers.

Suggested Citation

  • Manya Mooya, 2011. "Of Mice and Men," Urban Studies, Urban Studies Journal Limited, vol. 48(11), pages 2265-2281, August.
  • Handle: RePEc:sae:urbstu:v:48:y:2011:i:11:p:2265-2281
    as

    Download full text from publisher

    File URL: http://usj.sagepub.com/content/48/11/2265.abstract
    Download Restriction: no

    References listed on IDEAS

    as
    1. Ling, David C & Naranjo, Andy, 1997. "Economic Risk Factors and Commercial Real Estate Returns," The Journal of Real Estate Finance and Economics, Springer, vol. 14(3), pages 283-307, May.
    2. Patrick J. Wilson & Ralf Zurbruegg & Richard Gerlach, 2002. "Structural Breaks and Diversification: The Impact of the 1997 Asian Financial Crisis on the Integration of Asia Pacific Real Estate Markets," ERES eres2002_140, European Real Estate Society (ERES).
    3. Gonzalo, Jesus & Granger, Clive W J, 1995. "Estimation of Common Long-Memory Components in Cointegrated Systems," Journal of Business & Economic Statistics, American Statistical Association, vol. 13(1), pages 27-35, January.
    4. Bourassa, Steven C. & Hamelink, Foort & Hoesli, Martin & MacGregor, Bryan D., 1999. "Defining Housing Submarkets," Journal of Housing Economics, Elsevier, vol. 8(2), pages 160-183, June.
    5. Gerlach, Richard & Wilson, Patrick & Zurbruegg, Ralf, 2006. "Structural breaks and diversification: The impact of the 1997 Asian financial crisis on the integration of Asia-Pacific real estate markets," Journal of International Money and Finance, Elsevier, vol. 25(6), pages 974-991, October.
    6. Osterwald-Lenum, Michael, 1992. "A Note with Quantiles of the Asymptotic Distribution of the Maximum Likelihood Cointegration Rank Test Statistics," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 54(3), pages 461-472, August.
    7. McDonald, Ronald & Taylor, Mark P, 1993. "Regional House Prices in Britain: Long-Run Relationships and Short-Run Dynamics," Scottish Journal of Political Economy, Scottish Economic Society, vol. 40(1), pages 43-55, February.
    8. Richard Barkham & David Geltner, 1995. "Price Discovery in American and British Property Markets," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 23(1), pages 21-44.
    9. Søren Johansen & Rocco Mosconi & Bent Nielsen, 2000. "Cointegration analysis in the presence of structural breaks in the deterministic trend," Econometrics Journal, Royal Economic Society, vol. 3(2), pages 216-249.
    10. Craig A Watkins, 2001. "The Definition and Identification of Housing Submarkets," Environment and Planning A, , vol. 33(12), pages 2235-2253, December.
    11. Colin Jones & Chris Leishman & Craig Watkins, 2003. "Structural change in a local urban housing market," Environment and Planning A, Pion Ltd, London, vol. 35(7), pages 1315-1326, July.
    12. Johansen, Soren, 1995. "Likelihood-Based Inference in Cointegrated Vector Autoregressive Models," OUP Catalogue, Oxford University Press, number 9780198774501.
    13. Allen C. Goodman & Thomas G. Thibodeau, 2007. "The Spatial Proximity of Metropolitan Area Housing Submarkets," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 35(2), pages 209-232, June.
    14. Engle, Robert & Granger, Clive, 2015. "Co-integration and error correction: Representation, estimation, and testing," Applied Econometrics, Publishing House "SINERGIA PRESS", vol. 39(3), pages 106-135.
    15. Gregory, Allan W. & Hansen, Bruce E., 1996. "Residual-based tests for cointegration in models with regime shifts," Journal of Econometrics, Elsevier, pages 99-126.
    16. Craig A. Gallet, 2004. "Housing market segmentation: An application of convergence tests to Los Angeles region housing," The Annals of Regional Science, Springer;Western Regional Science Association, pages 551-561.
    17. Colin Jones & Chris Leishman & Craig Watkins, 2003. "Structural Change in a Local Urban Housing Market," Environment and Planning A, , vol. 35(7), pages 1315-1326, July.
    18. Inoue, Atsushi, 1999. "Tests of cointegrating rank with a trend-break," Journal of Econometrics, Elsevier, vol. 90(2), pages 215-237, June.
    19. Craig A Watkins, 2001. "The definition and identification of housing submarkets," Environment and Planning A, Pion Ltd, London, vol. 33(12), pages 2235-2253, December.
    20. Gregory, Allan W. & Hansen, Bruce E., 1996. "Residual-based tests for cointegration in models with regime shifts," Journal of Econometrics, Elsevier, pages 99-126.
    21. David F. Hendry & Katarina Juselius, 2001. "Explaining Cointegration Analysis: Part II," The Energy Journal, International Association for Energy Economics, vol. 0(Number 1), pages 75-120.
    22. Søren Johansen & Rocco Mosconi & Bent Nielsen, 2000. "Cointegration analysis in the presence of structural breaks in the deterministic trend," Econometrics Journal, Royal Economic Society, vol. 3(2), pages 216-249.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Tom Kauko, 2014. "Innovation in real estate and evolutionary agendas," ERES eres2014_15, European Real Estate Society (ERES).

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:sae:urbstu:v:48:y:2011:i:11:p:2265-2281. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (SAGE Publications). General contact details of provider: http://www.gla.ac.uk/departments/urbanstudiesjournal .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.