Construction of the model determine the discount rate by market extraction
Purpose. The actual problem is the determination of the discount rate for cadastral valuation of real estate settlements. Discount rate – the most difficult variable (characteristic) that is needed to determine the market value of the property. The term “discount rate” (discount rate) determined the American Society of Appraisers, the coefficient used to calculate the present value of a sum of money which will be paid in the future. If the valuation that the rate is a rate of return on invested capital. The investor expects its receipt of future earnings based on the risk. Methodology.