Purpose – The purpose of this paper is to review the issues involved in the implementation of mass valuation systems and the conditions needed for doing so. Design/methodology/approach – The method makes use of case studies of and fieldwork in countries that have either recently introduced mass valuations, brought about major changes in their systems or have been working towards introducing mass valuations. Findings – Mass valuation depends upon a degree of development and transparency in property markets and an institutional structure capable of collecting and maintaining up-to-date price data and attributes of properties. Countries introducing mass valuation may need to undertake work on improving the institutional basis for this as a pre-condition for successful implementation of mass valuation. Practical implications – Although much of the literature is concerned with how to improve the statistical modelling of market prices, there are significant issues concerned with the type and quality of the data used in mass valuation models and the requirements for successful use of mass valuations. Originality/value – Much of the literature on mass valuation takes the form of the development of statistical models of value. There has been much less attention given to the issues involved in the implementation of mass valuation.

Purpose – The purpose of this paper is to review what is known about obsolescence and its causes, and provide a critique of how it is reflected in valuations. Design/methodology/approach – The method has been to review the literature on obsolescence to examine the main causes and whether there are approaches that can identify the vulnerability of buildings to the business models they are designed to satisfy becoming outmoded. Findings – Obsolescence is an inherent part of the way in which market economies function as new competitors disrupt established business models. Investors need better methods to evaluate the risk that obsolescence poses to their portfolios. Practical implications – Obsolescence can result in significant unpredicted losses of value. Originality/value – Much of the literature on obsolescence treats it in the same way as depreciation without recognising its unpredictable nature. The paper explores alternative approaches to how obsolescence might be measured.

Purpose This paper aims to report the findings of a study of nine countries in Europe and Central Asia (ECA) that have either recently introduced or are working towards the introduction of value-based recurrent property taxes. Although many countries have recurrent property taxes, often, they are not value-based and raise relatively little revenue. This paper examines the barriers to the introduction of value-based property taxes and discusses how they can be overcome. Design/methodology/approach Case studies of recurrent property taxation were undertaken for eight countries from the World Bank’s ECA region. The sample included countries at different stages in the development of value-based property tax systems. A ninth country, The Netherlands, which has a well-developed mass valuation system, was included for comparison. Findings Barriers to the introduction of value-based recurrent property taxes are technical and political or governance ones. The technical barriers include the comprehensiveness of property registration, the quality of transaction price data, the extent to which the valuation infrastructure meets internationally recognised standards and the quality of tax collection systems. The principal political and governance problems are the unpopularity of property taxes, the need to convince the public that they are fair and the lack of champions of property taxation in government. Research limitations/implications The case studies are drawn from the ECA region, but the issues raised apply in many other parts of the world. A case study approach produces rich data for each example that enables key issues to be explored in depth. Practical implications The study has identified issues and ways of approaching them that are relevant to countries seeking to introduce value-based recurrent property taxes so that they can learn from the experience of others. Originality/value The approach has enabled a systematic comparison between countries so that common experiences and issues are identified.

PurposeThe purpose of this paper is to review what is known about property cycles following the financial crisis of 2008.Design/methodology/approachThe method is to review the literature on property cycles published since the 1930s, to examine the extent to which endogenous causes have been identified as distinct from exogenous factors that may have produced cyclicality resulting from weak adjustment mechanisms but not cycles.FindingsWhilst there is broad consensus that the property market has delays in adjustment which produce oscillations resulting from external shocks, it is more difficult to identify endogenous causes of cycles, though there are some possible candidates, notably technical progress.Practical implicationsThe slump after 2008 has cost savers and taxpayers dear, so better means of predicting cycles so that policy makers can mitigate them is desirable.Originality/valueThe debate about whether property cycles result from exogenous shocks or endogenous causes is in danger of being lost sight of. If the former, then the property industry is a channel through which external factors feed through to the economy, albeit magnified by weak adjustment factors. If there are endogenous causes, then policy makers would be unwise to overlook their potential destabilising impact on the economy.

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