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SQESalespersons Qualifying Examination✓EAQEEstate Agents Qualifying Examination

EAQE Property valuation question: Last month Flat 18A

EAA EAQEProperty valuation

Flat 18C in Block 2 of an estate is being valued. Last month Flat 18A in the same block, same size and layout but with a worse view, sold for HK$7,200,000. How should a valuer use this sale?

A Ignore it, because no two flats can ever be compared
B Adjust upwards from HK$7,200,000 to reflect 18C's better view
C Adopt HK$7,200,000 exactly, because the flats are the same size
D Adjust downwards, because a later sale always fetches less

Show the answer and explanation

Answer: B. Adjust upwards from HK$7,200,000 to reflect 18C's better view

Answer: Adjust upwards to reflect the better view. Why not the others: - Ignore it: A recent sale of a near-identical flat in the same block is the best evidence available. - Adopt the price unchanged: The flats differ in view, which affects value, so an adjustment is needed. - Adjust downwards because it is later: Timing adjustments follow market movement, which may be up or down. Rule: In direct comparison, the valuer adjusts the prices of comparable sales for differences such as floor level, view, orientation, condition and date of sale. Source: EAA, A Study Guide to Estate Agency Law and Practice, Part 6, para 7; as at Oct 2026

Common mistake

Copying a comparable price without adjusting for differences.

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An original question written to the published EAQE syllabus. Figures in the explanation carry their effective dates; check them against the current law before relying on them. Independent exam practice. Not affiliated with or endorsed by the Estate Agents Authority (EAA) or the examination administrator.