RERA suspends licences of two Real Estate valuers

TDT | Manama

The Daily Tribune – www.newsofbahrain.com

The Real Estate Regulatory Authority yesterday suspended the licences of two Real Estate Valuers temporarily for failing to comply with the provisions of Bahrain Valuation Standards.

The suspensions are for three months, starting Tuesday.

RERA investigators found that the licensees evaluated properties whose values exceeded BD 20 million, breaching the law which forbids them to value properties worth more than BD 3 million.

The decision is as per law (27) for 2017 promulgating the real estate sector and resolution (2) for 2019 on Licensing of Real Estate Valuers. RERA said all licensed real estate valuers are obliged to value properties that fall within the classification of the category issued to them by the Real Estate Regulatory Authority to avoid administrative or legal action taken against anyone who violates the law and regulations.

The Bahrain Valuation Standards are a combination of the International Valuation Standards (IVS), The Royal Institution of Chartered Surveyors (RICS) Red Book, and the principle law governing real estate in the Kingdom (Law 27 of 2017) and related regulations.

RERA offers valuers four class of licences, depending upon the type of property and its value.

Accordingly, Class A falls in the un-restricted monetary value category, where the licence holders are eligible to utilise all methods, including the profit method.

Class B valuators are allowed to value residential lands and commercial development projects with a value of up to 10 million dinars.

Class C valuators could value residential land and commercial projects having a value of up to 3 million dinars. Valuators falling in the Class D category are allowed to value residential lands having a value of up to 500,000 dinars.

Altogether, according to RERA, 55 licenced Real Estate valuers are there in the Kingdom in the four categories.

In the class C category, there are 12 licence holders.