Assurance of economic stability – The initiative of „The new generation of Lithuania“

• Post by: Valentas
• 2021-06-02
• Comments off

The initiative of „The new generation of Lithuania“ is an important milestone in Lithuania history, which will help to recover and increase resilience in the face of COVID-19. During the crisis and after economic stability is very important, because of it valuation must represent the market value as close as possible. Thus, reform “Tools available to businesses to manage insolvency risk” is essential to ensure economic stability. One of the developed tools in this project is the valuation wizard, which must help professional appraisals to follow and correctly apply TeGoVa, IVS principles in relation to their national law.

I have been responsible for such activities in Poland, where specifically I was involved in developing guidelines for valuation of real estate for bank mortgage. This aspect is very important since the quality of the housing loan portfolio is significantly influenced by the value of the property securing the loan granted and the ratio of the loan amount to the value of the property purchased on which the mortgage is to be established. We also lecture at training courses for property appraisers from all over Poland, organized by the Polish Bank Association and the Polish Federation of Real Estate Appraisers Associations. Thanks to the use of our knowledge and scientific publications on modern valuation principles in creating this standard, the implemented standard is consistent with international standards and EU directives in the field of securing claims.

Thus, we are pleased to know that Lithuania is also planning to take into consideration market value valuation of real estate for loan, since it is a crucial aspect for economic stability, which must be ensured during and after COVID-19 crisis.

About the author

Sabina Źróbek is the Professor of Technical Sciences in the field of geodesy and cartography, speciality – spatial planning and real estate management and works in the Faculty of Geoengineering at University of Warmia and Mazury in Olsztyn, Poland. Zrobek is the President of the Real Estate Scientific Society, the Editor in Chief of the journal „Real Estate Management and Valuation”. She was a member of The Committee on Geodesy of the Polish Academy of Sciences. For many years she has been serving as a delegate of the Association of Polish Surveyors in the Commission 9 International Federation of Surveyors. She has professional qualifications for real estate valuation and has been actively involved in the work of the State Qualification Commission for granting these rights since 1993 and the member of The State Council of Standards since 2018.