The market value of land. Cadastral and market value

The cadastral and market value of a land plot are two concepts that are important to know in order to navigate when selling. The first type expresses the price of the plot according to the regulations, which are calculated depending on the location and category of land. It is used as a regulator of land relations when concluding leases and buying and selling transactions, as well as for calculating the amount of tax that will be paid to the state. The cadastral and market value of the land plot is estimated at least every five years. Data, which are obtained on the basis of such an assessment, are entered into the state cadastre of real estate maintained by the Federal Service of State Registration, Cartography and Cadastre.

Interrelation of used concepts

The Russian legislation provides not only cadastral value, but also regulatory and market. The normative is applied in cases where the cadastral definition has not been made. It is calculated in a number of cases, which are prescribed by legislation: when obtaining bank loans for land pledge, redemption of municipal and state lands, and in other cases. The calculation of the value of a land plot in this case is usually defined as a 200-fold rate of land tax per square meter of the area of a plot, calculated on the basis of a special-purpose designation, with increasing coefficients taken into account and tax exemptions not taken into account.

Annually, the local government determines the value of land, recognized regulatory, which can vary within 25%. The market value of land is usually 25% higher than the normative. A document that serves as a confirmation of the normative price for a particular plot can be obtained from the city or district committee on land management and land resources.

Features

The market value of land is usually determined depending on such factors as market demand and supply of land of a certain category in a particular region at the current time. On the value it should not exceed the most probable level of the purchase price of a similar territory. The change in market conditions or the target orientation of a site can affect its size. The market value of land is characteristic of the secondary market, where the resale of land owned by private traders is resold. The primary market, where the purchase of municipal and state land in private ownership is being carried out, recommends the application of standard cost. All these species can have certain differences. In the cadastral and regulatory value, there is a similarity with the inventory price, and in the market one - with traditional demand and supply.

Evaluation process

The assessment of the market value of the land is carried out in order to know the real value of the object. Usually the price is formed on the basis of the territorial location of the site, market conditions, supply and demand dynamics, as well as the situation in the country's economy at the time of the transaction. Due to the comprehensive determination of all these factors, it is possible to calculate the value of the land plot, because the valuation company will collect the most relevant data, which can be useful for an objective assessment.

Necessity of appraisal activity

Usually, it is expedient to apply to specialized companies for evaluation in a number of cases, among which:

- the need for a cadastral valuation;

- if the site is supposed to be redeemed from the state property;

- if necessary, crediting to the authorized capital of the company;

- in case of mortgage registration or pledge;

- if necessary, determine the cost of selling a land plot;

- Calculation of the amount of taxes paid on donation.

Property division

Estimation of the market value of a land plot is necessary for the division of property. It is customary to refer to individuals and legal entities. If it is a question of individuals, the evaluation process is started when the couple is divorced and is calculated taking into account the buildings located on the site. In the case of legal entities, the valuation of the land consists of the allocation and valuation of the share of each shareholder or co-owner of the company in accordance with the legal status of the company. Often the division of property is accompanied by litigation in court, because of which the market value of land can be determined many times.

When several successors are inherited, a full valuation of land plots is also made . If one of the parties does not agree with the results of the examination, the case is referred to the court.

Determination of cost of rent

This type of evaluation can come in handy quite often. In this situation, when calculating the cost of a land plot, the difference is taken as the basis between the real value of the land in the market and the catalyzed rental rate for this type of territory. The cost of the right to lease is directly dependent on the tenant's powers, encumbrances and the validity period of the lease right, the rights to the assessed object of third parties, as well as the intended purpose of the land plot.

The market value of land is directly dependent on such factors as: the location of the territories; Accessibility for vehicles; Availability of communications, as well as their quantitative and qualitative composition. In addition, it is required to take into account the data of geodetic and engineering-geological studies, the significance of which is quite large, especially when planning the construction of the site.

Status for a specific date

Since the land market is characterized by a constant price change, the assessment is required to be made as of a certain date. The market value of land plots is varied and, depending on their purpose for securities, that is, the permitted use case. The intended purpose presupposes the most effective or probable disposal of the territory. All this is also used to determine the cost of buying a land plot. In this case, assessments are divided into separate areas, differing in the form and nature of land use.

Method of evaluation

So, before you determine the value of the land, you need to answer some questions:

- what is the intended purpose of the land plot, and also what allowed use it was granted;

- what are the methods and types of land use prevailing in the immediate vicinity of the sites?

- What are the changes in the market of land plots?

- what type of land use is expected at the moment.

The market value of the land plot is estimated on the basis of certain information. Usually this requires: determining the objectives of the assessment; Designate a specific settlement date; To know the requisites of the customer; Have documents that confirm the right of the owner of the site to the territory, it can be a tenant or owner.

You also need to know:

- purpose of the assessed territory;

- permissible use of the land;

- type of use of the site at the moment;

- position of the assessed object in the territorial plan, that is, its transport accessibility and immediate surroundings;

- The main ways to use the land in the immediate vicinity.

In addition, should be:

- The plan of a site of the earth;

- information on the fixing of territorial boundaries;

- data on the availability of some improvements, in particular, buildings, facilities, communications located on the site, as well as detailed information about them;

- data on the presence of encumbrances in the form of buildings, communications and facilities located on the site, with a detailed indication of information about them.

The market value of land is calculated taking into account a variety of nuances. When conducting an accurate assessment under the guidance of experienced specialists, it is possible to safely carry out any financial transaction with the ground.

Factors that influence the assessment

Different types of land are influenced by the same factors when it comes to their assessment: location, external factors, market conditions, purpose, and the likelihood of its change, the possible profit derived from its use. The estimated value of the latter is important.

The market value of the land plot is estimated as of a certain date. Over time, this indicator may change. The evaluation is recommended on the basis of the most effective use. That is, experts use research on the reasonableness of using this object in accordance with the law, as well as financial and physical realities. It turns out that as a result of the evaluation, not the average cost but the maximum is calculated. Sometimes a conditional, but justified, division of an object into a number of parts is possible, which are characterized by different types, forms, and other features. Often the result of the research differs from what is expected due to the fact that the current type of use does not coincide with the most effective one. With this concept it is required to understand.

Maximally efficient use

In the event that the market value of the land plot is established, it is necessary to take into account such factors:

- the intended purpose, as well as the availability of permits for a particular type of use;

- use of the site after the fact;

- the preferred type of land use in the current district;

- forecasts concerning price changes for similar plots.

conclusions

The estimation process takes into account the average cost of the territories in the study area, the availability of transport networks, the absence or presence of structures, engineering networks on the land, environmental conditions, remoteness of the infrastructure, and others. For agricultural land, it is required to estimate the actual crop yields, production costs, the cost of selling products in the region, and a number of equally important factors. Similarly, other types of land are valued.