Valuers And Technology – The Future Of Valuation Models

The rapid increase in the adoption of mobile technology in data collection devices as preferred methods of business to business (B2B) communication, for transmission of data and ways to manage and analyse spatial information, has led to a significant progress in the development of custom designed valuation applications, automated valuation models (AVMs) and robust spatial/cadastral databases. These have also transformed the way property practitioners, including valuers, collect information, process it and transfer it to the client. According to Piers Macrae Cockram, Founder and Managing Director of ValuePRO Software, Brisbane, “the change to electronic means has been sparked by both the progress of suitable mobile devices and the commercial pressures to find operating cost and time efficiencies”. From the many users and studies to be quoted in this paper there will be no doubt therefore that these advances has increased operating efficiencies, improved costs and contributed significantly in improving client service levels. The indirect benefit of these advances is in the capability for the development of a sizeable number of people in a short space of time with minimal effort. Although these advances have become a norm in certain industries, adoption of technology is to some extent treated as unthinkable in the valuation practices. Therefore the question this paper seeks to address deals with the position of the valuation industry in embracing technology and the automated valuation models. With the conclusion that it is not too late for the industry save itself by embrace technology and being open to scientific models in the valuation practice.