🏠 How to Evaluate a Property in Oman: A Guide for Investors and Property Owners

In Oman’s growing real estate market, property valuation is a crucial step for anyone looking to buy, sell, or invest wisely and safely. A precise valuation not only determines the market value of the property but also forms the foundation for making sound financial and investment decisions.

In this guide, we’ll explore the key steps and principles that professional valuers rely on to determine the true value of a property in Oman.

🔹 First: What Is Property Valuation?

Property valuation is the process of determining the true market value of a property at a specific point in time, based on a combination of economic factors, geographical location, property characteristics, and market supply and demand.

Valuation is used in several key areas, such as:

• Real estate financing through banks.
• Setting a fair selling or purchasing price.
• Preparing company budgets and financial reports.
• Settling inheritance matters or legal disputes.

🔹 Second: Who Is Authorized to Conduct Property Valuation in Oman?

In the Sultanate of Oman, property valuation must be carried out by an entity officially accredited by the Ministry of Housing and Urban Planning. The valuer is required to hold a valid real estate license and adhere to the International Valuation Standards (IVS) or other approved local standards.

🔹 Third: Factors Influencing Property Value

When conducting a valuation, the valuer considers a set of key factors, including:

• Location: Proximity to services, main roads, and schools.
• Size and Design: Land area, number of floors, availability of parking and facilities.
• Building Age: The property’s construction age and the quality of materials used.
• Market Conditions: Supply and demand trends in the area.
• Permitted Use: Whether the property is residential, commercial, industrial, or investment-oriented.

🔹 Fourth: Approved Valuation Methods

Property valuers in Oman rely on several methods to determine accurate value estimates, including:

• Market Approach:
  Comparing the property with similar ones recently sold in the same area.
• Income Approach:
  Used for investment properties; valuation is based on the property’s expected annual return.
• Cost Approach:
  Estimating the cost of rebuilding the property from scratch, minus depreciation.

🔹 Fifth: When Do You Need a Property Valuation?

• When buying or selling a property to ensure a fair price.
• When applying for bank financing or a mortgage.
• When liquidating or dividing assets among partners or heirs.
• For accounting or investment purposes within institutions.

🔹 Sixth: How to Choose the Right Valuation Company?

Look for a valuation firm that offers:

• Official accreditation from government authorities.
• A solid professional reputation and a strong client portfolio.
• A comprehensive, well-documented valuation report supported by evidence and photos.
• A qualified team of licensed professional valuers.

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