Introduction – Valuation and Property Guidance Papers

Effective 1 July 2021, after acting on Member feedback and State Committee consultation, we have clarified the Professional Standards framework. This clarification ensures that the hierarchy of Standards documents is clear and all Guidance Notes (GNs) and Technical Information Papers (TIPs) will be rebranded to Guidance Papers for valuation and property professionals.   

From 1 July 2021, there will only be 4 types of Standards documents:

  1. API Code of Ethics and Rules
  2. International Standards (such as International Valuation Standards)
  3. Guidance Papers
  4. Protocols

The move to the new terminology Guidance Papers (GPs) will not change the intent or substance of the content/guidance provided.  Shortly, all GPs will be reviewed and if required a substantive content upgrade will be conducted. This upgrade to Guidance Papers is part of an ongoing partnership between the Australian Property Institute, the Property Institute of New Zealand and the New Zealand Institute of Valuers to become the strategic supplier of professional property services in Australia and New Zealand.

 

Guidance Papers

The principal objective of a Guidance Paper (GP) as well as any associated Resource Pack (if applicable) is to clarify professional and industry processes, appropriate practices and procedures and to discuss their use and implementation.

GP is designed to be of assistance to Members and those who use Members’ services. They serve as a guide and measure of acceptable professional practice and conduct of a Member. 

The intention of a GP is to: 

  • Provide information on the characteristics of different types of assets that are relevant to the advice.  
  • Provide information on appropriate practices and their application.
  • Provide information that assists Members in exercising the judgements they are required to make in specific situations.
  • Convey elements of what is considered “competent professional practice” for Australian Property Institute (API) Members. 

A GP is not intended to provide comprehensive training, instruction or prescriptive practices and procedures, or direct that a process, professional approach or method should or should not be used in any specific instruction or situation.

Member Obligation

Members are responsible for choosing the most appropriate approach in a matter based upon the task and instruction. It is a matter for each Member to decide the appropriate practice in any situation, and if they are unclear, seek professional advice from others, or contact the API. Members have the responsibility of deciding when it is inappropriate to follow a GP.

The Institute(s) do not warrant that anything contained in this or any GP is the definitive or final statement on any issue. Members must perform their own work pursuant to their own professional expertise and experience and if required, seek additional advice which might include legal advice.

In the case of a valuation paper, a GP recognises the International Valuation Standards (IVS) published by the International Valuation Standards Council (IVSC) and in place at the date of the valuation.

Court or Tribunal Reliance

A court or tribunal may take into account the contents of any relevant GP or other document relating to a recommended professional practice published by API in deciding whether the Member acted to a standard required by law.

Currency of Publication

Case law and relevant legislation may change over time and whilst the Institutes(s) consider that the content of a GP is current at the date of publication, Members and those who use Members’ services should have regard to legislative changes and new rulings and, if necessary, seek further advice prior to having regard to the GP.

Departure or Non-Compliance

Where a Member considers that a circumstance exists that warrants the departure from or non-compliance with the content of any GP, the Member’s report (or other advice) must include a statement that outlines:

  1. the reasons for the departure or non-compliance with a GP; and
  2. any impact the Members departure or non-compliance may have on the content of the report.

Members are advised to seek legal and/or other advice before departing from practice recommended in a GP.

Current GPs

A list of the current GPs including their effective dates is contained below.  To access any of the papers the quick links in the table below will open up the Member Portal/Knowledge Base/Standards/Guidance Papers where a copy of the paper can be downloaded.

Document NameCategoryCodeEffective Date
Valuation Procedures - Real Property PaperValuation Guidance Papers - General
ANZVGP 1111 July 2021
Addressing the Concept of Forced Sale PaperValuation Guidance Papers - General
ANZVGP 1031 July 2021
Valuation of Partial Interests in Property held within Co-ownership Structures PaperValuation Guidance Papers - General
ANZVGP 1061 July 2021
Considerations when forming an opinion of value when there is a shortage of market transactionsValuation Guidance Papers - GeneralANZVGP 1101 July 2021
Retrospective Valuations PaperValuation Guidance Papers - Specific PurposesANZVGP 1011 July 2021
Valuations for Insurance PurposesValuation Guidance Papers - Specific Purposes
ANZVGP 1041 July 2021
Valuations for use in Offer DocumentsValuation Guidance Papers - Specific Purposes
ANZVGP 1081 July 2021
Valuations of Real Property, Plant & Equipment for Use in Australian Financial Reports PaperValuation Guidance Papers - Specific Purposes
AVGP 3021 July 2021
Assessing Rent and Rent DeterminationsValuation Guidance Papers - Specific PurposesAVGP 3011 July 2021
Valuations for Mortgage and Loan Security PurposesValuation Guidance Papers - Specific Purposes
ANZVGP 1121 July 2021
Valuations for Compensation and Compulsory AcquisitionValuation Guidance Papers - Specific PurposesANZVGP 1131 July 2021
Valuations for Compensation and Compulsory Acquisition Resource PackValuation Guidance Papers - Specific PurposesANZVGP RP 113.11 July 2021
Market Value of Property, Plant & Equipment in a BusinessValuation Guidance Papers - Specific Property Types
ANZVGP 1021 July 2021
Valuation of Self Storage FacilitiesValuation Guidance Papers - Specific Property Types
ANZVGP 1051 July 2021
Valuation of Accommodation HotelsValuation Guidance Papers - Specific Property Types
ANZVGP 1071 July 2021
Market Value of Rural and Agribusiness PropertiesValuation Guidance Papers - Specific Property Types
ANZVGP 1091 July 2021
Disclaimer Clauses and Qualification StatementsProperty Guidance Papers - General
ANZPGP 2011 July 2021
Acting as an Expert WitnessProperty Guidance Papers - GeneralANZPGP 2031 July 2021
Acting as an Expert Witness Resource PackProperty Guidance Papers - General
ANZPGP 203.1 RP1 July 2021
Property AdvisorsProperty Guidance Papers - General
ANZPGP 2021 July 2021
Property Advisors Resource PackProperty Guidance Papers - General
ANZPGP 202.1 RP1 July 2021
Methods of MeasurementProperty Guidance Papers - General
APGP 4011 July 2021
Due DiligenceProperty Guidance Papers - General
ANZPGP 2061 July 2021
Property Research GuidelinesProperty Guidance Papers - GeneralANZPGP 2071 July 2021
Leasing Agent ServicesProperty Guidance Papers - General
APGP 4041 July 2021
Land Contamination IssuesProperty Guidance Papers - Specific Purposes
APGP 4031 July 2021
Native Title IssuesProperty Guidance Papers - Specific Purposes
APGP 4021 July 2021
Development ManagementProperty Guidance Papers - Specific PurposesANZPGP 2041 July 2021
Feasibility StudiesProperty Guidance Papers - Specific Purposes
ANZPGP 2051 July 2021
Preparing a Property for SaleProperty Guidance Papers - Specific Purposes
ANZPGP 2091 July 2021
Property Insurance ManagementProperty Guidance Papers - Specific Purposes
ANZPGP 2081 July 2021

Previous Versions TIPs, GNs and GPs

To access previous papers (TIPs, GNs and GPs) published by the API, please contact the API Standards Team on [email protected].