Nicosia, Cyprus. A Cyprus Chamber of Commerce and Industry (Keve) member association representing property valuers has said online property valuation tools and automated systems should be used only as indicative estimates and cannot replace assessments by qualified professionals.
Limits of automated systems
Responding to the growing use of digital platforms and automated systems for estimating property values, the association said the public should understand both the benefits and limitations of such services before relying on them.
It said technological systems and online valuation platforms can be useful supporting tools, offering an initial indication or approximation of a property’s likely value.
However, the association said these systems are generally based on automated models that depend on the availability and quality of data, as well as general parameters. As a result, they may not capture the unique characteristics of every property.
“Automated or online valuation systems do not replace a professional valuation,” the association said.
Professional assessment
The association said the results of online and automated systems should be treated solely as indicative and not as a complete valuation for important financial, investment, financing or other decisions.
It said a valuation can only be considered complete, well documented and reliable when carried out by a suitably qualified professional property valuer.
According to the association, essential parts of the valuation process include an on-site inspection, assessment of a property’s actual condition and special characteristics, knowledge of the local market and the application of recognised professional standards.
Medical comparison
The association compared online property valuations with internet searches for medical symptoms.
“Just as an online search for symptoms may provide an initial general indication but cannot replace an examination by a doctor, who takes a full medical history and assesses the specific characteristics of each case, an automated valuation from a website cannot replace a professional valuer,” it said.
