Historically there is only one way land prices move and that is up. The easy availability of financing and high disposable income have led to a rise in land prices in urban areas in our country and even in certain rural areas.

The prices of land on the outskirts of the many major cities in India have risen more rapidly than the central business districts. Many a time investments in land on the outskirts of major cities have led to huge appreciation in value, due to the rapid development of good road connectivity, shopping centers, malls, airports and schools.

An Investment in land, thus outperforms all other forms of investment in the long run.

Valuation of property’ simply means arriving at the actual prevailing cost of the property. It could depend upon a number of parameters, location of property being the most important one. One needs to consider other parameters such as age of property, projects available, facilities offered and the sizes available in that project. The latest transaction price of a similar property needs to be considered to arrive at the closest value of the given property.

Typically, if a real estate agent is asked to judge the value of a piece of property, he would do so based on information of recent sales or purchases of similar properties in that area.

Though this may give a fair idea of the property’s market value, an official property valuation would carry more weight.