Estimation of land plot

To date, no manipulation of the land plot is without estimating acres. It is this procedure that determines the value of the land in the real estate market. Therefore, it is extremely important to know the basic principles of land evaluation. Today the article will tell about how it is carried out.

Essence of land valuation

The market assessment of land implies the determination of their value or the cost of the right to leases. First of all, the decisive factors in the assessment are:

• location;
• favorable external factors;
• supply and supply in the relevant market;
• equivalent utility compared to another site.

Also during the assessment, the capabilities of connecting to communications are taking place in the event of a house building, their high-quality and quantitative composition. In addition, the inalienable components of any assessment of the site are indicators such as engineering and geological and engineering and geodetic surveys. It is they who help determine the composition of the soil, its condition, general properties and relief indicators of a certain area. All these indicators are extremely important if construction or agrarian works are planned on the site, that is, in most cases.

It is worth noting that the market, or in other words, the cadastral assessment of land plots is important not only for the land owner, but also for the state. The importance of the assessment process is determined to a greater extent with two indicators.

1. Thanks to the estimated manipulations, it is possible to determine the value of the Earth in the composition of natural resources and the value of individual sections.
2. Without land evaluation, it is impossible to determine a real fee for it. That is, a person who has decided to sell a plot will not be able to do this, simply due to the fact that he will not be sure what amount to demand for it.

Who can become a subject of appraisal activities?

Evaluation of something implies the presence of estimated objects and subjects. The second are the appraisers and persons who "provide" the site. Evaluation of acres is traditionally carried out by the following representatives:

• individuals. They are practicing entities of entrepreneurial activities that have a relevant document (evaluator and license certificate) and have been prepared in this direction;
• legal entities. These are subjects of economic activities, regardless of their organizational and right form, which have been licensed to carry out work on land management;
• legal entities of another type. They are business entities, regardless of their organizational and right form and form of ownership, which have appraisers on monetary evaluation of land with a license to fulfill this kind of work according to the law;
• executive authorities and local self-government, but provided that they are managing management in the land-valuation sphere.

These are the four main "representative offices", which are entitled to evaluate the Earth. All subjects are specially trained to conduct estimated manipulations with land and make it a special principle. If you need an assessment of the house or the land plot - contact only professionals, otherwise you risk "flying to a penny".

Main types of land assessment

We must not forget that the legislative system of a particular country can differ significantly. Since the types of land assessment are determined according to the laws, they may be different in different countries. Despite this, the following types of estimated manipulations can be distinguished.

1. Money assessment of land. It is conducted with the need for economic regulation of land relations during the conclusion of civil law agreements, in other words, it is carried out to determine the exact value of a particular land plot. Also, this type of assessment is prescribed when determining the land tax rate.
2. Economic evaluation of land. This manipulation is carried out for data collection, which will later become the basis for the implementation of the regulatory monetary assessment of the Earth, determining the economic suitability of land with agricultural purposes for the cultivation of crops, analysis of the efficiency of the use of the site in comparison with other natural resources.
3. Bonirating soil. It suggests data collection, which will subsequently become an integral part of the state land cadastre and the basis for the economic assessment of agrarian land. Also, thanks to the soil bonimization, the environmental fitness of the soil is determined for the cultivation of crops of agricultural and forestry production.

These approaches to the assessment of land plots are fundamental and allow to determine the most significant factors and comprehensively study the degree of suitability of acres.

Methods for assessing land plots

Elimination of land is a difficult task. It should be extremely attentive, not to lose sight of even the smallest details. So, among other things, it is worth mentioning what approaches the land is being implemented. They include:

• profitable (capitalization of net profit, which will be added from the use of land);
• comparative (comparing the cost of selling such land plots);
• the method of the remnant of the Earth (accounting for the costs of improving the land plot).

Most often, land assessment is carried out according to a comparative approach. It is the most priority and attractive, as the most focused on the specifics of the market. The only difficulty to use this method is the lack of the developed land market, as well as amendments that significantly affect the cost of acres.

The income approach is appointed not so often. But it cannot be left without attention, because it is not rarely used if the site brings profit from economic activities or from his lease. That is, you can clearly track down the "perspectives" of the site, its ability to generate income in the future.

The approach of the land remains is used in assessing the land plot of an improved type. The cost determination here is determined based on the market value of these improvements, subject to the most efficient use of land.

Estimation of the land plot is a very complex and responsible process. Therefore, it is imperative to seriously approach the selection of an appraiser, consult and track its experience in this area. From this directly depends on whether your manipulation will be a successful example of an estimate of the land plot or become the sad experience of your life.