Ultimately, land is wealth. It is plain simple. The common law definition of land is summed up in a Latin phrase 'sujus et solum ejus est usquead coelum et ad inferos,' translated literally to mean 'a land owner owns the space above it and everything below it.' However, legal conception differs as it limits it to a specific height above & below the surface, beyond which, the rest is public domain. Land is in fixed supply but can o ly be extended. This is where we have issues of land grabbing and stealing rising from; cases in point- Temangalo and the wars Hon Nantaba was fighting in Kayunga.
According to draft 5 of Uganda's National Land Policy (July 2010), land is the most basic resource in terms of the space it provides, the environmental resources it contains and supports, and the capital it represents and generates. It is a commercial asset, an essential part of the National Patrimony & is key in the shaping of identity through the expression of its association. Land, is eminently the pillar of human existence.
Valuation of land is a systematic procedure to provide answers to a client's question about the value of the land. The appraiser is expected to identify the client & intended users an appraisal, then the use of that appraisal. The client may specify the information submitted or the appraiser has to solicit for it. An opinion of value may be needed to determine a mount of a loan, basis for taxation, prices at which to buy & sell, terms of lease.
The purpose of this appraisal is usually to develop an opinion of certain type of value, which may be; market value, use value, investment value. It's the valuer's duty to ensure the purpose is consistent and appropriate for its intended use. Date of opinion of value must be specified because forces that influence real property value change constantly. The valuer shall then get to work, collect data, analyse it & then reconcile it for the intended appraisal.
The appraisal could then be used for transfer of ownership, financing & credit, litigation and taxation as well. How are these possible?
1. The appraisal helps in ownership transfer in a way that it helps sellers determine the appropriate selling price.
2. It helps develop an opinion of the value of the security offered for a proposed mortgaged loan, hence financing and credit.
3. It helps to develop an opinion of the market value of the property, hence litigation.
4. It aids in taxation after developing an opinion of the assesed value of the property.
PS: Land is a very basic resource, and is the ultimate source of wealth.