Valuation inaccuracy, approaches, basis and procedures for judgment execution in Ethiopia
ISSN: 0263-7472
Article publication date: 31 May 2021
Issue publication date: 4 October 2021
Abstract
Purpose
The causes of valuation inaccuracy, the approaches, basis and procedures used for value estimation were not profoundly identified in Ethiopia. Particularly, the causes of property valuation inaccuracy for court decisions have not been assiduously studied by scholars. Hence, the ultimate goal of this study aims to identify the determinant variables of valuation inaccuracy, the approaches, basis and procedures used for court execution purposes.
Design/methodology/approach
This study employed both qualitative and quantitative approaches. The target populations of the study were the courts at the federal and regional levels. A purposive sampling technique was employed to undertake this study. The survey data was analyzed using the Relative Importance Index (RII).
Findings
The finding of this research revealed that courts have not outshined and uniform valuation manuals and guidelines that clearly state the approaches, procedures and bases of valuation. As a consequence, courts execute based on the opinion of value determined by other institutions. The insignificant numbers of independent valuation institution with the lack of uniform standards in the country prejudice the implementation of the decision of the court and faced injustice. The finding also reveals as there are several causative variables for real property valuation inaccuracy.
Practical implications
To alleviate the problem, the government should strengthen the valuation sector by creating an independent institution for advancing valuation regulation and policymaking.
Originality/value
This study was the first of all and could be a pointer for different government and non-government bodies regarding the limitations of valuation for judgment execution purposes.
Keywords
Citation
Asnakew, M.B. and Amogne, M.K. (2021), "Valuation inaccuracy, approaches, basis and procedures for judgment execution in Ethiopia", Property Management, Vol. 39 No. 5, pp. 618-635. https://doi.org/10.1108/PM-11-2020-0080
Publisher
:Emerald Publishing Limited
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