Usage of GIS-based Nominal Valuation Method in Creating Value Maps: The Case of Foça/İzmir

Abstract

According to TUIK data, the number of residential sales in İzmir in 2021 is 86,722. This count corresponds to 5.8% of all residential sales in Turkey. With this ratio, İzmir became the third province in Turkey with the highest sales of residential. When all these statistics are taken into account, it is quite laborious and time-consuming to determine the value of real estates in İzmir using singular valuation methods. The mass real estate valuation method, which was suggested as a solution to this, was applied in the Yenifoça neighborhood of İzmir. In the study, nominal valuation method, which is one of the stochastic methods that accelerates the valuation, was used. The nominal value map of the building footprints created at the end of the application was converted into prices in TL with the help of a model. In the model, the total pixel values and the sales prices on the web-based site of the real estates were used. The real estates for sale on the site were divided into two groups as training and test data. It has been determined that the model prices of 11 test data have a 0.67 correlation with the prices on the website. The mentioned model ran with a very high accuracy coefficient, although it was tested with a limited data set. As a result, the applicability of the nominal valuation method has been revealed and an important academic resource has been brought to the literature for future mass real estate valuation studies.