Belting Method of valuation
- Value of a plot of land has a great bearing on its road frontage. Frontage land has a greater value than back land.
- So in order to find out a more realistic value of land the entire plot is divided into a number of convenient strips by lines parallel to the centre line of the road.
- Each such strip of land is known as belt. The depth of front belt is judicially ascertained on the consideration (the depth of the land and) to what depth of the land does the maximum value extend.
- Then a relationship regarding the value and the depth of each belt to the front belt is fixed up. Ascertaining rate per sq.m of land for the first belt the value of each belt is worked out.
Multiply the area of each belt by respective related rate per unit area.
After summing up the value of each belt the value of the entire plot of land can be known. This system of valuation is known as Belting Method of Valuation.
- Normally the plot of land is divided into three belts. The depth of the second belt is taken as 1.5 times that of front belt and the depth of the third belt at 1.5 times the depth of the second belt or depth remaining after second belt is considered as the depth of third belt.
- Value of front belt is maximum. The second belt is valued at two-third rate of first belt and the third belt is valued at half rate of first belt.
- Value of recessed land not lying within the perpendiculars drawn on belting lines from the end points is valued at three-fourth value in that particular belt of land.
- For diagram refer the sums of belting method.