This glossary of terms has been composed by FIRST STRATA to provide you with an easily accessible and comprehensive description of the many terms frequently used in all aspects of land sales.
We trust you will find it both useful and informative.
See VOID ALLOWANCE.
The attribute of an empty property which can legally be exclusively occupied and used by the owner or, on a sale or letting, by the new owner or tenant.
An inspection carried out immediately before completion of a property transaction to ensure that there has been compliance with a term in the contract requiring that the property will be transferred with vacant possession.
1. In property terms the money value, or something else which is tangible or real as distinct from something abstract. It is agreed as the payment due from one party to another in return for the benefit derived by the former. Where the parties have entered into bona fide exchange, the consideration on each side must be equivalent but not necessarily adequate.
2. Under section 205(1)(xxi) of the Law of Property Act 1925, valuable consideration includes marriage but not nominal money payments. Cf DISTRIBUITON IN KIND; GOOD CONSIDERATION.
1. The process of making an estimate of worth of real property or other assets for a particular purpose, eg letting, purchase, sale, audit, rating, compulsory purchase or taxation. That purpose and relevant circumstances will determine assumptions and facts that are appropriate and hence the process used.
2. A statement, usually in writing, setting out the facts, assumptions, calculations and resultant value.
3. Colloquially, the value arrived at as a result of the valuation process.
See DATE OF VALUATION; SIGNING DATE; VALUATION CERTIFICATE; VALUATION REPORT.
A court established under Schedule 2 to the Local Government Finance Act 1988 to hear:
a. an appeal by a person aggrieved by any of the ten matters concerning the community charge set down in section 23(2) of the Act; or
b. an appeal following a disagreement about the accuracy of a non-domestic rating list between a valuation officers and a person making a proposal for its alteration.
A document in which a valuer certifies the amount of his valuation of a property or group of properties. There is no rigid form for such a certificate, although a suitable format is set out in the RICS Guidance Notes on the Valuation of Assets. It usually comprises a relatively short letter but may take the form of a detailed report and it will normally contain the valuation date, the purpose and basis of the valuation itself, its date, the factual information and any assumptions on which it is based, together with the name, address and qualifications of the valuer. Cf CERTIFICATE OF VALUE; VALUATION REPORT.
See DATE OF VALUATION.
Under the General Rate Act 1967, the statutory document listing all the rating assessments of hereditaments in a particular valuation area. It is prepared and kept up to date by the valuation officer of the Inland Revenue under the Valuation Lists Rules 1972 and is available for members of the public to inspect at the offices of the local rating authority. Cf CENTRAL NON-DOMESTIC RATING LIST; LOCAL NON-DOMESTIC RATING LIST.
A department of the Board of Inland Revenue appointed by central government having three main functions covering valuation matters, namely:
a. taxation, eg capital gains tax, corporation tax and inheritance tax;
b. rating, eg compiling and maintaining valuation lists;
and
c. compensation for compulsory purchase and allied matters on behalf of central government and some local authorities.
For the purposes of the Local Government Finance Act 1988, a person appointed under section 61 by the Commissioners of Inland Revenue for each charging authority to compile, and then maintain, the local non-domestic rating list in accordance with section 41.
A report made for the purpose of advising on the capital and/or rental (or hiring) value of one or more properties (or other assets) and containing the valuation(s) and information relating thereto. It is usually longer and more detailed than a valuation certificate, although it may sometimes be so used.
A tabulated series of figures derived from a formula and used for valuation purposes, eg for discounting receipts and payments of a revenue or capital nature. The relevant facts and particular assumptions made by the valuer will lead to selection and use of the appropriate table. Typical sets of valuation tables include the following: amount of £1; amount of £1 per annum; annual sinking fund; annuity £1 will purchase; present value of £1; years' purchase (present value of £1 per annum). Among the principal published valuation tables are Bowcock's, Donaldson's, Parry's and Rose's.
1. The price that an interest in property or some other asset might reasonably be expected to fetch if disposed of at a given time for a particular purpose or in particular circumstances.
2. To make an estimate of the worth of a property or other asset.
See VALUATION.
Under the Value Added Tax Act 1983, as amended, a tax charged on the supply, actual or notional, of certain goods and services in the United Kingdom and on the importation of goods into the United Kingdom.
The value, in terms of cash, of a property which is bartered for another asset or assets, cash being the yardstick by which the comparative value of each can be assessed.
See SUBJECTIVE VALUE.
Rent payable under a lease which provides that it will change at given times during the term by predetermined amounts, by formula or by other means.
Under a building contract, a change in the previously specified requirements for the building.
A large retail shop selling many kinds of mainly small and relatively inexpensive items.
