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An Alternative Theory: Market Value as Convention and as Emergence

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Real Estate Valuation Theory

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Abstract

The previous chapter laid out all the fundamental building blocks for a realistic conception of the market value of real estate. The substantive theory is developed in this chapter. Five sections follow this introduction. The following section briefly explains what is meant by the proposition that what is being developed here is a ‘realistic’ theory of market value. This alternative theory conceives market value in terms of two distinct, yet complementary perspectives. In the one perspective, market value is conceived as a convention of relatively thin real estate markets. In the other, market value is conceived as an emergent property of relatively competitive real estate markets. These conceptions are developed in the third and fourth sections respectively. The penultimate section brings these conceptions are brought together, to present a theory of real estate market value with a universal scope. That is to say, the substantive theory developed is relevant and applicable to all types of real estate and real estate markets everywhere.

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Authors and Affiliations

  1. Department of Construction Economics and Management, University of Cape Town, Rondebosch, South Africa

    Manya M. Mooya

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  1. Manya M. Mooya
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Mooya, M.M. (2016). An Alternative Theory: Market Value as Convention and as Emergence. In: Real Estate Valuation Theory. Springer, Berlin, Heidelberg. https://doi.org/10.1007/978-3-662-49164-5_7

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  • DOI: https://doi.org/10.1007/978-3-662-49164-5_7

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  • Publisher Name: Springer, Berlin, Heidelberg

  • Print ISBN: 978-3-662-49163-8

  • Online ISBN: 978-3-662-49164-5

  • eBook Packages: Economics and FinanceEconomics and Finance (R0)

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