The Application Research Of Income Method And Market Method In Real Estate Mortgage Appraisal

In recent years,China’s real estate market was a significant development,the real estate valuation has become a very important job.In the real estate appraisal business,real estate mortgages appraisal is accounted for over ninety percent of the volume of rating agencies’businesses.Nowadays,most research on real estate mortgages are focused on strengthening management of the industry,standardizing relevant laws and regulations to determine exactly appraisal result,but there is a few concern about the problems of assessment method itself.These problems also caused the inaccurate appraisal results.However,as the most commonly used two methods of real estate appraisal-the income method and market method,although it has mature theory,at the theoretical and operational respects,there are some problems that need be corrected.Based on this,in order to solve the above problems,this paper combines the results of previous studies to clarify the real estate collateral assessment at the theoretical aspects.And improve income approach and market approach.This paper is divided into five chapters,each chapter is summarized as follows:The first chapter is introduction.Firstly,introduces the background and significance of the topic.Secondly,from the research of foreign and domestic to discuss the former literatures on evaluation of the real estate.Finally,there is a brief introduction of the research ideas.The second chapter is the theory of mortgaged real estate appraisal.Based on introducing the utility value theory,equilibrium theory of value,land rent theory and location theory and related concepts,this chapter describes the difference between the value of real estate collateral and the amount of real estate mortgage loans.The third chapter is income method.This chapter discussed the Income Method and the two important parameters-net income and capitalization rate in detail.The forth chapter is market method.In this chapter,first introduced the concept of market method and basic formulas.Secondly,discussed the subjective problems of this method.Finally,introduced the method of fuzzy mathematics to improve the existing market method.The fifth chapter is case analysis of real estate mortgage appraisal.The sixth chapter is conclusion.This chapter summarizes the main points and conclusions of this paper as well as the problems need to be solved in the future.The innovation of this article may include these two aspects:First,modified the two main parameters in the application of the income method. On one hand,standardize the calculating processes of net income;on the other hand,improved the method of safe interest rate plus risk adjusted value.Second,applied the fuzzy mathematics method to appraise the value of real estate,solved the subjective problem of traditional market Method and apply it to the practice of evaluation.