6)Valuation Standard Sixdiscusses the condition of engaging a valuer. Amongst the requirements are the purpose of the valuation and intended use of the valuation, the date of the valuation, the interest, basis of valuation, assumptions to be made, the fees payable and the limits or exclusion of liability to other parties.7)Valuation Standard Sevendiscusses the various purposes of valuation and the basis of valuation for each purpose. The common purposes are for lending, fire insurance, financial reporting, sale and purchase, submission to the Security Commission purposes andfor compulsory acquisition.8)Valuation Standard Eight deliberates the standards required for a proper inspection and referencing of property and neighbourhood. It also encompasses the management of data for a valuation can be done.9)Valuation Standard Nine lays down the standards required in a valuation report. Valuation report must contain adequate information to allow those who need and rely upon the report to fully understand the data, rationale, analyses and conclusions. It must also state any assumptions and limiting conditions upon whichthe valuation is based.10)Valuation Standard Ten sets out the standards for preparing revaluation reports of an interest in property which are essentially carried out in situations where a previous valuation has been done by the same firm within a period of 5 years. 11)Valuation Standard Eleven explains the standards pertaining to certain limited cases where a detailed report may not be essential incommunicating an opinion of value to the client. Such instances include situations where a previous valuation has been done by the Firm and a financial institution which has loaned funds on the collateral security of the property now requires an update of the value for the sole purpose of assessing the adequacy or otherwise ofthe collateral security. 12)Valuation Standard Twelve deliberates on the various methods ofvaluation that are used by valuers amongst which are the Comparative Method, Investment Method, Residual Method, Cost Method and the Profits Method13)Valuation Standard Thirteen considers the use of assumption in valuations. All such assumptions must be clearly spelt out in bold and capital letters in the Terms of Reference, Opinion of Value, and Other Appropriate Sections of the report. In almost all cases a "as is" valuation must also be made. The report should note the inappropriateness of the valuation being used for financing facilities unless appropriate professional advice has been sought.
14)Valuation Standard Fourteen spells out the standards for the valuation of plant and machinery. In most instances the basis of valuation is market value. Items to be valued must be properly inventoried, inspected and adequately described.