TRENDS IN RENTAL VALUE OF RESIDENTIAL PROPERTIES IN AN EMERGING STATE CAPITAL (A CASE STUDY OF UYO LGA)
ABSTRACT
This study examined the fluctuation and prospects of value appreciation on properties, which is due to population increases urbanization. This has shown that there are many factors that determined trends in the rental value of residential properties. These factors include the location of the property, changes in building costs, the national situation change, change in population. These examine the study area of the trends in rental value of residential property in Uyo increased tremendously and this has brought about a great improvement on the socio-economic life of the people at Uyo. Chapter one contains detailed and broad information about the study and its background. The aim and objective, the significance of the study, the scope of the study, research methodology, and limitations were also discussed. Chapter two is based on the literate review in which the conceptual frameworks of the trend in residential property value were really discussed. Chapter three, these based on the research methodology of the study area. Chapter four discussed the presentation of the data and the analysis of data using questionnaires and personal interviews as a source of collecting data or information. Chapter five discussed a summary of findings, recommendations, conclusions, and References.
TABLE OF CONTENTTitle page i Certification iiDedication iiiAcknowledgment ivAbstract vTable of content viCHAPTER ONE1.0 Introduction 11.1 Background of study 1 1.2 Aim of study 31.3 Objective of study 31.4 Significance of study 3 1.5 Scope of study 4 1.6 Research Methodology 41.7 Limitation of study 4 CHAPTER TWO2.0 Conceptual framework 52.1 Concept of value 5 2.2 Types of value 6 2.3 Residential property 8 2.4 Types of residential property 8 2.5 Rent 92.6 Types of rent 10 2.7 Real Estate and market 11 2.8 The real property market 11 2.9 Characteristics of real property 122.10 Determination of rental value of property 132.11 Price determination in property market 15 2.12 Factors affecting property values. 15
CHAPTER THREE3.0 Research Methodology 173.1 Sources of data 17 3.2 Method of gathering data 18 3.3 Research instruments 19 3.4 Method of data presentation and analysis 20 CHAPTER FOUR4.0 Data presentation and analysis 22 4.1 Factors that responsible for the trends in rental value 27 CHAPTER FIVE5.0 Summary of findings, recommendation, and conclusion. 29 5.1 Summary of findings 29 5.2 Implications of findings 29 5.3 Recommendation 29 5.4 Conclusion 30 References 31 Appendix 32 CHAPTER ONE1.0 INTRODUCTION1.1 BACKGROUND OF THE STUDY
As far a real estate is concerned, the value goes with the same economic laws as values of other goods and services. Therefore, the value of real estate relates its basis to the law of demand and supply just as the price of the commodity in the market. The other underlining factors that guide the residential property market in the study shall also be highlighted. Value is the worth of an article in exchange. The money worth that will accrue to the lesser will be an inverse function of the value of demand, long time age especially in the days of the oil boom, the property market of the area was dull because people prefer to build than to let or lease because building cost was cheap. But, in the decade the property market of the study area has experienced gradual changes in rental value.The nature of this change is the focus of this project, the concept of values of property factors affecting property values and some other related topics will be treatedVarious factors can bring about changes in residential property values and a graphical representation was made which showed monumental changes in their rental values when compared to the present year.Akwa Ibom is a state in Nigeria. It is located in the coastal southern part of the country, lying between latitudes 4°32′N and 5°33′N, and longitudes 7°25′E and 8°25′E. The state is located in the South-South geopolitical zone and is bordered on the east by Cross River State, on the west by Rivers State and Abia State, and on the south by the Atlantic Ocean and the southernmost tip of Cross River State. Akwa Ibom is one of Nigeria's 36 states, with a population of over five million people. The state was created in 1987 from the former Cross River State and is currently the highest oil- and gas-producing state in the country. The state's capital is Uyo, with over 500,000 inhabitants. Akwa Ibom has an airport and two major seaports on the Atlantic Ocean with the proposed construction of a world-class seaport Ibaka Seaport at Oron. The state also boasts of a 30,000-seat ultramodern sports complex. It is shaped like the Allianz arena stadium and it has modern and world-class facilities. Akwa Ibom state is also home to the Ibom E-Library, a world-class information center. In addition to English, the main spoken languages are Ibibio, Annang, Eket, and Oron. 1.1 AIM OF THE STUDYThe aim of the study is to examine the trends in the rental value of residential properties since the creation of Akwa Ibom state.1.3 OBJECTIVES OF THE STUDY1. To identify various factors that responsible for trends in rental value of residential properties2. To examine the rental value of residential properties in the study area.3. to identify various problems militating against the performance of residential properties in the study area.4. To make recommendations and conclusions.1.4 JUSTIFICATION OF THE STUDYIn ascribing any rental value to any set of property the future level of productivity of the property has become a thing of significance. So one of the things to which the developers are most sensitive is the feature level of rental. A small amount of the balance in prediction can have a great effect on the success or failure of a project. This is a guide to the viability of a development scheme, it is important that feature levels of income generated from the property must be highly granted.In doing this, decision that affects the feature has to be taken into consideration. But before this can be done, it is necessary to make allowance for conditions that would show ahead. Since current rental on investment mainly aims at meeting the feature needs of the owner.Residential property in its nature is more or less dynamic thus a study of past trends of the property in the market would serve as useful guidelines to the whole state be it, investors. This enables the public as well as a private developer to know how their scheme fits into the future development of the sub-growing urban area as a whole.The study of trends of property values most especially residential property is of great importance to the estate management profession. An understanding of trends on property value is of great importance for their being assessment purpose or valuation.This is because it provides a good guide and it can be used for projecting such things as revenue generation, either for the state or local government. An understanding of the trends in rental value of a property, particularly residential property, in most cases it can also be used to determines the capital value of the property in the nearest future and also the actual rent to be taken by the landlord, could be determined if an accurate trend can be got.1.5 SCOPE OF THE STUDYBasically, the project proposes to examine the trends in rental value of residential property within the state. Although the estate belongs to the Government which has vested interest in the individuals who developed the respective property. The respective landlords who pay the corporation an annual ground rent now let out their property for over years In this project, a critical examination will be made on the responsible factors and forces causing changes in the rental value of residential properties.1.6 RESEARCH METHODOLOGYDuring the course of this study, data and other important materials were collected in the following ways,1. Reference to relevant books and journals2. Oral interview in connection with the study was carried out within the study area.3. Field survey of the study area.
1.7 LIMITATION OF THE STUDYThe major problem we encountered was that Uyo is a large area with many estate surveyors and value firm, location at relating short distance from each other as had to result in trekking from one firm to another and also some of the estate surveyors and values were not willing to answer the oral interview conducted because of their tight schedules.
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