Integration of spatial econometric models in determining land values case study: Misindye Parish Mukono District

Abstract

Determination of land values is a fundamental aspect of finance because most times, these values are used to facilitate a sale, secured lending purposes, government compensation rates, property taxes. If Land values are not well determined, it can lead to losses and this can affect the economy. Occasionally, property valuers have difficulty in value determination, cases which have seen banks having non-performing loans, government over compensating for properties in compulsory acquisitions and local councils collecting low revenues from properties. Thus, in order to overcome some of these challenges, particularly valuation inaccuracies/variations, client influence, use of heurists and valuer misconduct, this study aims at using Spatial Econometric Models which have been developed and used to more accurately assess the real value of residential properties