IDEAS home Printed from https://ideas.repec.org/p/arz/wpaper/eres2024-184.html
   My bibliography  Save this paper

Legal Possibilites of Using AI in Real Estate Valuation – Polish Perspective

Author

Listed:
  • Dominik Wasiluk

Abstract

AI-based automated valuation models (AVMs) exhibit best among all types of AVMs and truly commercially-viable qualities. Therefore for many professionals the use of AI algorithms for property valuation seems to be a natural progress and a necessity in this field. However the application of AI to property valuation raises a number of questions of a legal nature. First and foremost, is the use of AVM by appraisers to perform valuation reports allowed under current legal regulations? In my paper, I will present an analysis of Polish legal provisions regarding real estate valuation and prove that, unlike in many other European countries, they have almost explicitly allowed the use of AVMs by appraisers, including those based on artificial intelligence, for many years. In the second part of the report, I will present my conclusions on the professional liability of an appraiser for possible AVM errors. In order to investigate both research problems, I use linguistic and hermeneutical analysis of law, which I supplement with sociological methods - in-depth interviews with Polish property appraisers. Finally, based on an extensive literature review and international industry standards, I will present a proposal on how an appraiser should assess the quality of an AI-based AVM, both before and during its use.

Suggested Citation

  • Dominik Wasiluk, 2024. "Legal Possibilites of Using AI in Real Estate Valuation – Polish Perspective," ERES eres2024-184, European Real Estate Society (ERES).
    • Handle: RePEc:arz:wpaper:eres2024-184
    as

    Download full text from publisher

    File URL: https://eres.architexturez.net/doc/oai-eres-id-eres2024-184
    Download Restriction: no
    ---><---

    More about this item

    Keywords

    Artificial Intelligence; Automated Valuation Models; Property Valuation; Real estate appraisers;
    All these keywords.

    JEL classification:

    • R3 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Spatial Production Analysis, and Firm Location

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:arz:wpaper:eres2024-184. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Architexturez Imprints (email available below). General contact details of provider: https://edirc.repec.org/data/eressea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.