Property evaluation in the time of coronavirus – What are the problems and how has the law turned out to be?

The Law on Valuers of Real Estate was adopted in December 2016, and the list of licensed valuers features 214 names. A total of 25 have been removed, because their licenses have been revoked for various reasons, the head of the Group for Insurance and Real Estate at the Ministry of Finance, Dejan Hadzic, said at a panel of the Sixth Serbian Real Estate & Infrastructure Development Conference.

Ivana Stanojevic, a partner at IBM Consult, believes that the law’s biggest contribution is the insistence on membership in associations, but also an exchange of information, transparent lists of valuers.

– The law has given us independence and opened the door to the clients – she said.

Sladjana Popovic, an associate director at CBRE, pointed out that a property valuer is a multidisciplinary profession, whose scope of activities has been defined by this law, reflecting the international practice.

– The improvement of the profession through standardization entails communication of all interested parties, consultants, banks and regulatory bodies alike – she said.

She added that it was necessary to think about how to act in crisis situations, such as the ongoing one, which also entails material uncertainty as well.

Ognjen Rogacev, a senior specialist for collateral evaluation at UniCredit Bank, talked about Covid disclaimers, that is, the waiving of responsibility due to the pandemic.

– Covid disclaimers should remain as reminders of the fact that the market is changeable. Increased attention and higher responsibility in defining the market value are needed – he said.

He pointed out that, due to the lack of liquidity, hotels and office space in business buildings were more difficult to evaluate, because their operations couldn’t be predicted.

– The apartment market in Belgrade is liquid and an increase in real estate prices is being recorded. It’s different in smaller places – Rogacev says.

He adds that a central lease register would make it easier for valuers, who do not have enough comparative data.

Aleksandra Kekic

Ministarstvo finansija Republike Srbije

IBM Consult d.o.o. Beograd

CBRE d.o.o. Beograd

UniCredit Bank Srbija a.d. Beograd

Group for Insurance and Real Estate at the Ministry of Finance

Dejan Hadžić

Ivana Stanojević

Slađana Popović

Ognjen Rogačev

Law on Valuers of Real Estate

list of licensed valuers

licensed valuers

Sixth Serbian Real Estate and Infrastructure Development Conference

property valuers

real estate valuers

material uncertainty

Covid disclaimers

waiving responsibility due to the pandemic

market value

central lease register

comparative data