Methodological Principles for the Valuation of the Mortgage Real Estate

The object of research is the valuation process of mortgage real estate. One of the most problematic areas is the theoretical and methodological provisions for valuating mortgage real estate in an imperfect market, characterized by information opacity.The basis of the research is a systematic approach to the issue of valuing mortgage real estate. The methodological basis of this work is a set of methods of scientific knowledge of the problem, general scientific principles, methods and tools that are used in the research process. The information base of the research is the materials of the governmental portal, periodicals and the results of scientific research of scientists. The legal field of the valuation consists of International and European standards of valuation, the current legislative and regulatory acts of Ukraine. The solution of the tasks set in the work is carried out using the method of factor analysis, synthesis, systematization and generalizations, the method of cause-effect relationships, system analysis and a graphical method for visualizing the research results.It is determined that the market value should be the basis for valuing mortgage real estate. Taking into account the possibility of future forced realization of the appraised real estate object being pledged, it is determined that it is necessary to apply additional evaluation procedures, in particular:– to identify and exclude any unsustainable speculative points;– to build models of the trend of prices for the sale or lease of real estate;– to make a forecast of development scenarios for the segment of the real estate market to which the evaluated property belongs.Qualitatively carried out in the valuation process monitoring of the market for such facilities will allow banks to assess all the risks associated with the valued property and take a more informed decision regarding the size of the mortgage loan