Determinants of agricultural land valuation in the province of Huambo, Angola: A quantitative analysis

Abstract

This work aims at presenting a review of the literature on agricultural land valuation, highlighting the elements of real estate valuation and the factors that determine the price of an agricultural land in the province of Huambo in Angola. A quantitative methodology was used, based on the collection of data from 612 agricultural properties that were up for negotiation in the province of Huambo in Angola. The valuation of an agricultural land is of great importance for development and economic growth in Africa. In the assumed methodology, multiple linear regression was employed. The results allow us to conclude that variables such as the land being legal, having electricity, being located on the urban fringe with possible future urbanization, being a location close to the urban center, facing a busy road, and allowing for the easy use of machines have a significant impact on the value of the land in question. This study contributes to the development and appreciation of the agricultural world, which are aspects that can greatly help in improving the environment and sustainability of the rural world.