VALUTION OF RESINDETIAL BUILDING FOR BANK LOAN APPROVAL

This research paper examines the process of residential property valuation for bank loan approval using multiple real-world case studies collected from Kolhapur district. The study focuses on analyzing valuation techniques, factors influencing property value, and the role of valuation in financial decision-making. Data has been derived from professional valuation reports of multiple properties, including residential units owned by different individuals across urban areas. The research incorporates land valuation, building valuation, and total property assessment using both guideline values and prevailing market rates. The findings reveal that market value consistently exceeds guideline value due to factors such as infrastructure development, location advantages, and demand-supply dynamics. The study also highlights the importance of realizable and distress values used by banks to minimize lending risks. The paper concludes that systematic valuation practices are essential for ensuring transparency, accuracy, and financial security in housing loans. It emphasizes the need for standardized valuation methods and updated market data for better decision-making.