DIFFERENCE REPORT OF VALUATION RESULTS AND ASSESSMENT CERTIFICATE

Currently, for agencies and organizations with the function of price appraisal to determine the monetary value of properties in accordance with the provisions of the Civil Code, they must make two main reports, namely the report on valuation results and the report on valuation results and Valuation certificate. Through the preparation of these two reports, they have different purposes. For example, the preparation of a report on valuation results is a premise for customers and related parties of the business owner to conduct the appraisal of the use price.

On the other hand, the establishment of a Re-Valuation Certificate has the main purpose of informing customers and related parties of the business owner of the valuation of the results of the report on valuation results. If you are still confused about the two types of reports above, this article will help you distinguish these two types:

Report on valuation results: is a document prepared by the valuation enterprise, clearly stating the price appraisal process, valuation results and the valuation enterprises opinion on the value of the property being appraised. appraisal so that customers and related parties have grounds to use for the purposes stated in the appraisal contract.

Valuation certificate: is a document prepared by the valuation enterprise to notify customers and related parties of the basic contents of the report on valuation results.

1. Distinguishing valuation result report and appraisal certificate

Regarding the similarity: The report on valuation results and the certificate of valuation are similar here in that they are both made by the enterprise, but in terms of content, these two forms are different in content. and intended use. When making reports on valuation results and appraisal certificates and sending them to customers and related parties, the price appraisal results reports and appraisal certificates are made according to the provisions of the Valuation Standards. Vietnam No. 06- Report on valuation results, valuation certificate and valuation documents.

About the difference:

– In terms of content: the report on valuation results should clearly state the valuation process, valuation results and the valuation enterprises opinion on the value of the appraised property. The valuation certificate contains the basic contents of the report on valuation results. Therefore, the content of the valuation certificate depends on the content of the appraisal result report

– The more obvious differences in the content of the report on valuation results and the appraisal certificate are as follows:

Report on valuation results: according to regulations, it is required to show the correct information according to the actual information on the report, and attached it is descriptive and based on specific evidence to explain the price. of the property through valuation. When presenting a report on appraisal results, in a uniform and reasonable order, the description of the property or the factors affecting the increase or decrease of that property, after analyzing the collected data collected in the market to get the results of the appraisal report. The results report must present a coherent and convincing statement of the methods and methods used in the appraisal process and clearly explain all matters affecting the asset value. produce.

The detailed content of the report on valuation results may vary according to the subject of the appraisal, the purpose, the request to conduct the appraisal and the request of the customer, but a valuation report must include: the following basic contents: Name and type of property; Origin of assets (machinery and equipment, technological lines...); Location of real estate (land, buildings and other structures); name, address, telephone number, fax number of the customer requesting the appraisal; date of valuation; Name, address, phone number, fax number of the enterprise, valuation organization or branch; Full name of the appraiser making the valuation report; Full name and signature of the director of the enterprise, the head of the valuation organization or in charge of the branch.

Valuation certificate:

The valuation certificate includes the following basic contents: Valuation contract number and/or written request/request for valuation; Information about appraisal customers; Key information about the appraised property (name and type of property, legal and economic-technical characteristics); Purpose of valuation; Time of valuation; Legal grounds; The basis of the value of the appraised property; Special assumptions and assumptions; Approach and method of valuation; Exclusions and limitations of valuation results; Final valuation results; Full name, card number and signature of the appraiser assigned to carry out the valuation signed the Report; Validity period of valuation results.

– In terms of use purposes: the report on valuation results is used as a basis for customers and related parties of the business owner to conduct appraisal of the price according to the purposes stated in the contract. co-appraisal. The re-appraisal certificate has the main purpose of informing customers, customers and related parties of the appraiser business owner about the results of the report on valuation results. The valuation certificate will state the basic contents of the report on valuation results.

As you can see, the most basic difference between an appraisal report and an appraisal deed is the basic content. The two contents are different in nature, like the party reporting the appraisal results, most of the content will refer to the process, results and finally the opinion of the business, while on the side of the appraisal certificate is report on appraisal results. On the other hand, it can be said that the appraisal deed is a summary of the report on valuation results.

2. Legal effect of price appraisal result report and appraisal certificate

a, Legal validity of the valuation certificate

The legal validity of a valuation certificate is specified in Clause 3, Article 32 of the 2012 Law on Prices, which stipulates on valuation results that the statute of limitations of the valuation certificate is as follows:

“3. Valuation results are only used within the valid period stated in the report on valuation results and the valuation certificate.”

Before making a valuation certificate, you need to determine the effective date of the appraisal certificate: The effective time of the appraisal certificate is the date, month and year of issuance of the appraisal certificate price.

According to Clause 7 of Vietnams Valuation Standard No. 05 Valuation process promulgated together with Circular No. 28/2015/TT-BTC dated March 6, 2015 of the Ministry of Finance regulating the determination of time limit Validity of valuation results:

The validity period of the valuation results is determined on the basis of legal, economic - technical characteristics of the asset to be appraised; legal and market fluctuations related to the asset to be appraised and for the purpose of valuation, but not more than 6 (six) months from the effective date of the appraisal certificate.

Thus, in the report on valuation results, there is an expiry date, specifically here it is 6 months and takes effect from the date, month and year of issue.

b, Legal effect of the report on valuation results:

Regarding the legal validity of the report on valuation results, according to the regulations, before making a report on valuation results, you need to determine the effective time of the appraisal certificate: The force of the report on valuation results is the date, month and year of the issuance of the valuation certificate.

The report on valuation results and the certificate of valuation after being signed and issued by the valuation enterprise or branch in accordance with the law are transferred to customers and third parties for use. price appraisal results (if any) according to the signed price appraisal contract.

By: Lawyer Nguyen Van Duong