Analysis of Property Value at Bank Sumut Binjai Branch, North Sumatra, Indonesia

The property value such as land and buildings as collateral have different values due to the location, land and buildings and other things. The high Non-Performing Loan (NPL) at Bank Sumut, sub-branch of Pasar Tavip Binjai is due to the inaccuracies of credit analysts in assessing collateral. Method of analysis in this research is using Multiple Linear Regression method. The result of this research shows that land area, building area, the width of road and land law have positively and significantly influenced the value of collateral located at PT Bank Sumut, Binjai Branch. in determining the value of land and buildings that are used as collateral by prospective debtors or which will be re-valued so as to protect the bank from giving collateral harms the bank itself. For assessors can use a linear regression model generated in this study to be used as a reference in assessing the value of land and buildings as collateral. For further research, either those who will conduct research on the same type of research population or others, it is recommended that other variables be used that can affect the value of collateral as collateral or the same variable but at different research sites.