Revision with unchanged content. In recent years, real estate valuation has become more and more important due to the increasing number of real estate and portfolio transactions. Seen as a science by some professionals – as an art by others – the accurate valuation of real estate can nevertheless be a challenging exercise. This book describes the theory and practice of real estate valuation in Germany. The codified and international valuation methods are identified: Vergleichswertverfahren, Ertragswertverfahren, Sachwertverfahren as well as comparative method, investment method, cost approach, residual method and profits method. These methods are further applied on a real-world valuation example. Subsequently, the strengths and weaknesses of each method are analysed and the ways the respective approach has been received and criticised are considered. The intention throughout is to identify the method’s crucial factors and contribute to a better understanding of real estate valuation by bridging the gap between theory and practice. At the same time the book wants to enable the practitioner to apply and comprehend both codified and international valuation methods.