Cadastral value is an important economic indicator that determines the value of real estate and land for tax purposes, determining rent and other legal transactions. It affects many aspects of economic activity and legal relations. Understanding the factors on which the cadastral value depends is important both for property owners and for potential buyers and investors.
The main factors influencing the cadastral value:
Object location:
- Geographical location: Properties in or near large cities tend to have a higher cadastral value compared to properties in rural areas. For example, real estate in larger cities will be valued significantly higher than similar properties in remote regions.
- Infrastructure: Developed infrastructure (proximity to schools, hospitals, shopping centers, transport hubs) significantly increases the cadastral value. The presence of convenient access and transport accessibility also plays a significant role.
Environmental factors
- Clean air and water: The presence of nearby industrial enterprises or sources of pollution can reduce the cadastral value. At the same time, objects located in environmentally friendly areas have a higher cost.
- Proximity to natural sites: Sites and real estate near parks, reserves, reservoirs and forests are usually rated higher due to their attractiveness for living and recreation.
Purpose and use of the land plot:
- Purpose: Agricultural lands, industrial zones and residential plots have different cadastral values. For example, residential land in the city center will be valued higher than agricultural land in the suburbs.
- Actual use: If a land plot is not used for its intended purpose, this may affect its cadastral value.
Regulatory and tax factors
- Local tax incentives: The introduction of tax incentives for certain categories of real estate (for example, for energy-efficient buildings) can increase their cadastral value.
- Government grants and support programs: Programs to support housing construction, restoration of historic buildings and other government initiatives can affect the valuation of real estate.
Size and shape of the plot:
- Area: Large plots of land may have either a higher or lower cadastral value per unit area compared to smaller plots, depending on their location and use.
- Shape and relief: Sites of regular shape and favorable relief are rated higher because they are easier to use for construction and other needs.
Technical condition of the property:
- Age of the building: New buildings usually have a higher cadastral value than older buildings due to less wear and tear and the use of modern construction technologies.
- Quality of construction: High-quality materials and modern architecture increase the cadastral value of the property.
Market conditions:
- Supply and Demand: If the real estate market has high demand and limited supply, the cadastral value may increase.
- Economic situation: The general economic situation in the region also affects the cadastral value. During periods of economic growth, property values tend to rise, and vice versa.
Investment and development projects
- Infrastructure Development Plans: Future plans for the construction of new roads, subways, shopping and entertainment centers could significantly increase the cadastral value of real estate in the area.
- Investment projects: The launch of large development projects, such as the construction of new residential complexes or business centers, also affects the growth of real estate values.
Legal and administrative factors:
- Regulatory framework: Changes in the legislation governing cadastral valuation can significantly affect its results. For example, the introduction of new tax benefits or changes in assessment procedures.
- Court decisions: Disputes about cadastral value heard in court can also affect the final valuation of the property.
Conclusion
The cadastral value is a multi-component indicator, which is influenced by a variety of factors: from location and infrastructure to the economic situation and legal aspects. Understanding these factors is important to correctly determine the value of a property, which in turn affects tax obligations, rent and other economic parameters.
This knowledge helps you make informed decisions regarding the purchase, sale, taxation and use of real estate. In a dynamically changing economic environment, special attention should be paid to changes in the regulatory framework and market conditions in order to promptly adapt to new conditions and minimize financial risks. Property owners and investors should consider all of these aspects when evaluating and managing their properties.
