1. The Rise of Irish Valuers
Coming Back From The Brink
2011 – 2018
By Pat Davitt FIPAV REV MCCEPI
CEO, IPAV

2. 10 Year Snapshot
IPAV 2008:
900 Members – high percentage are active in Sales & Valuations
IPAV 2012:
700 Members – high percentage are active in Sales & Valuations
IPAV 2018:
1300 Members – 400 qualified under TEGoVA Blue Book
270 ‘TRV’ & 130 ‘REV’

3. DECEMBER 2011
The Downturn in full swing The Central Bank of Ireland (CBI) never heard of IPAV
The Central Bank of Ireland entered the debate & issued a DRAFT REVIEW in December 2011 called;
“Valuation Processes in the Banking Crisis – Lessons Learned – Guiding the Future”
Section 2.2 Valuation Methodology and Provisioning
There has been much discussion concerning the basis of valuation in a market with little or no demand. The view of the Central Bank is that a revised Red Book valuation from RICS is the most appropriate way to update the value of the security held by the Credit Institutions.

4. A Concerning Year
How did IPAV get here no Valuation standards. How are WE going to get out of here
Extinction Looming
Many options looked at Irish Valuation Standards, IVSC, TEGoVA, RICS
As Michael MacBrien would say ‘Boy did we start to work’
IPAV meets with the Central Bank of Ireland (CBI)
IPAV must convince the CBI that time is required to successfully implement European Valuation Standards
IPAV to deliver fully trained, qualified and certified Valuers who meet with TEGoVA EVS Standards
IPAV GETS REPRIEVE

5. July 2012 Only Valuation Body in Ireland with standards ‘RED BOOK’
Newspaper Article Not for the faint hearted
“The Central Bank report did, however, recognise the valuation principles developed by the Royal Institution of Chartered Surveyors (RICS) – the global professional body which works in partnership with SCSI, in accordance with international valuation standards, also known as the Red Book.
The Central Bank recommended that lenders should seek Red Book valuations from suitably qualified valuers when considering applications for loans or reviewing existing loans.”
The Irish Times
Valuer registration a step in right direction
By Sean McCormack

6. September 2012 Ping Pong IPAV Responds SCSI/RICS Responds
The Irish Independent
Why Property valuers should comply with International standards
By Roy Lavelle
The Irish Independent
No such thing as a Red Book Valuation
By Pat Davitt

7. October - November 2012 IPAV had TEGoVA Inspection for membership
Meeting of TEGoVA In ROME
Pat Davitt presented case for IPAV membership
Result positive Thank You
WORK TO START on becoming and AMA
The CBI agrees to amend their Final Report to include EVS Blue Book
This is a huge achievement

8. December 2012
The CBI launches its Final document including valuation recommendations
“Valuation Processes in the Banking Crisis – Lessons Learned – Guiding the Future (FINAL 18 December 2012)”
Includes;
1.3 Valuation Standards
The Central Bank is not seeking to review or challenge valuation methodologies
Examples of valuation standards consistent with the principle rules of International Valuation Standards and considered to be appropriate practice include; the Royal Institution of Chartered Surveyors (RICS) “Red Book”, the European Group of Valuers Associations (TEGoVA) “European Valuation Standards Blue Book”.

9. May – November 2013
Full support from Roger Messenger and Michael MacBrien & assures the TEGoVA Board IPAV could deliver 200 Valuers
IPAV appointed AMA at TEGoVA meeting in Dubrovnik
REV Valuation Course developed for immediate delivery to members
2 REV courses successfully rolled out in September and October 2013, with John Hockey overseeing course content
126 IPAV Member are now qualified Recognised European Valuers

10. 2014 - Irish Banks, The Fight Is On
A number of Irish Banks had changed their valuation templates stating only Red Book Valuations Accepted
IPAV had to change this ethos
This extended beyond banks to other Institutions, including Government Bodies
The Blue Book was not widely know in the National Press – most never even heard of it !
Valuers own attitudes and mind-set had to change new standards to be adhered to.

11. 2014 Asset Quality Review Phase 2 Manual
GREAT NEWS – The EVS Reigns Supremacy
“Valuation Standards; Real estate should be valued in line with European Valuation Standards EVS-2012 (Blue Book) and other international standards such as the Royal Institute of Chartered Surveyors (RICS) guidelines, with EVS 2012 taking precedence in the event of any conflict (for the avoidance of doubt, this should be considered to apply throughout the document)”

12. Nov 2014 – Jan 2016 Banking Tribunal & Its Report
The only Banking Tribunal in Europe
Called to represent Irish Valuers
The Inquiry was asked to; ‘examine the reasons why Ireland experienced a systemic banking crisis’
Many Findings; Property or land valuations were not carried out in all cases, even in the case of some large developments. As the property boom took hold, reliance on informal ‘desktop’ and ‘drive by’ valuations, which did not involve any physical inspection of a property, became more prevalent. LET US NOT FORGET THIS
Leading to the perfect foundation & reason to advocate the Blue Book, its supremacy & its implementation by IPAV valuers

13. 2016 MCD Irish Statutory Instrument (SI)
IPAV Meets with the Department Finance in Ireland
Consultations with IPAV on how the MCD will be transposed
IPAV proposed by Statutory Instrument
S.I. No. 142 of 2016
Property valuation
20. (1) A creditor shall use reliable standards, such as those developed by the International Valuation Standards Council, the European Group of Valuers’ Associations or the Royal Institution of Chartered Surveyors, when carrying out a property valuation of residential immovable property for credit purposes, or take reasonable steps to ensure that reliable standards are applied where a valuation is conducted by a third party.
20. (2) A creditor shall ensure that internal and external appraisers conducting property valuations are professionally competent and sufficiently independent from the credit underwriting process so that they can provide an impartial and objective valuation, which shall be documented in a durable medium and of which a record shall be kept by the creditor.

14. 2017 – 2018 Valuation Templates & Recognition
Valuation Templates Amended to Include EVS
Blue Book mentioned on 90% of all valuation templates
Higher Valuation Fees Negotiated
All REV and TRV Valuers individually listed on IPAV website followed by Banks
Job qualifications extended to cover EVS
Banking Representative group invitations and discussions with IPAV
Invited to speak at Bank Valuation Meetings

15. Today October 2018 - Banking Supervision Asset Quality Review 2018
The Blue Book keeps its status over all other standards in the 2018 Asset Quality Review (AQR) Manuel just completed by the European Central bank and launched in Oct 18.
IPAV and TEGOVA and the ECB has recognised the standards of the Blue Book as truly European ones and gives it default status again in its 2018 banking review.
IPAV’s Roadmap “EVS 2016“Blue Book” Professional ism in Valuation Standards, Today, Tomorrow & into the Future” now in its 5th edition has been updated to reflect the above and serves as an ideal opportunity to circulate to stakeholders & members.

16. THANK YOU All Valuers Need Stable Internationally
Recognised Valuation Standards
The Blue Book Gives Us That
THANK YOU