ANCHORING THE EFFECTS IN PROPERTY VALUATION: A BEHAVIOURAL PERSPECTIVE IN REAL ESTATE MARKETS IN ENUGU METROPOLIS, NIGERIA

Property valuation plays a central role in real estate markets, influencing investment decisions, mortgage financing, taxation, and market stability. However, valuation is not purely objective; it is often affected by behavioural biases, particularly anchoring. The aim of this study is to examine the influence of the Anchoring Effect on Property Valuation and its implications for valuation accuracy and market efficiency. To achieve this goal, four objectives were stated; to examine the concept of anchoring in property valuation, to identify sources of anchoring in valuation practice, to assess the impact of anchoring on valuation outcomes and to evaluate the implications for valuation accuracy and reliability. Also, four research questions were developed. Data were gathered from 78 respondents using a mixed-methods approach that included field observations, interviews, and structured questionnaires. Data collected was analyzed using, descriptive statistics (mean, frequency, percentages) and inferential statistics. Drawing from behavioural economics and empirical real estate studies, the study highlights how anchoring contributes to valuation variance, pricing inefficiencies, and decision distortions among valuers, buyers, and investors. The paper concludes by recommending institutional and methodological reforms to improve valuation accuracy and reliability.