Estimated cost of residential evaluation for gifting or selling – from 1000 UAH. The deadline is 1 day.
Evaluation value for presentating in court or the transfer of property in pledge is determined individually.
Residential evaluation – determination of market value of real estate. Most often for presentation at a notary or in court. Below are all the information and answers to the most frequently asked questions concerning the valuation of households.
Content of the article:
- 1. How much does it cost to evaluate a residential
- 2. Is it necessary to have a land valuation
- 3. How does an appraiser determine the value of the building and an area
- 4. How much will you have to pay taxes for re-registering with a notary
1. How much does it cost to evaluate a residential
As in the case of any other real estate, the complexity of work, from the point of view of the appraiser, of the houses is the purpose for which the documents will be used. The procedure for filing a report for a notary, for example for the sale of property, differs significantly from the process of preparing documents for court proceedings. Based on this, the prices for such work are different:
- Residential evaluation for a notary costs 1000 UAH and it will be done in 1 day. Do not forget that most often when redesigning such property you will need to order an additional valuation of the land.
- Preparation documents for court. The price of such work depends to a large extent on the circumstances of the case, the presence of the customer’s full package of documents and the possibility to organize an inspection of the facility by the appraiser. Also the price of our services in this case depends on whether during the work it is necessary to additionally determine the cost of the site on which the building is located. Below we considered some cases when such additional work is necessary and when it is possible to do without it.
We recommend reading our article: “Who cares what the expert evaluation is for?”
1.1. Which documents should be provided to the appraiser
A feature of working with houses in comparison, for example, with apartments is that the appraiser one way or another needs to take into account the factor of the land plot. The house is an integral part of the land on which it is located, and according to the Law can be sold only at the same time.
In most cases, when assessing a house, it is also necessary to make while doing valuation of the land, on which real estate it is located. We write “in most cases”, but there are exceptions to each rule. We recommend reading the article: “Is it necessary to have lands valuation while doing evaluation of residential?”. And in some cottage towns the area is generally used by the owner of the cottage on the right of lease.
Another feature of the residential evaluations that the complexity and algorithm of the valuation may differ significantly for different types of buildings: the old rustic hut needs to be evaluated using approaches, different from approaches to calculation of the market value of the modern cottage. Sometimes it also happens that the choice of approach, complexity and cost of work affect and location of the house.
Based on this, while preparing documents for the purchase and sale of the house, the appraiser prepares two reports: of land and of the house. The following documents are required for the work:
- For residential:
- Ownership. Confirmation that the property belongs to a person, can be different documents. Most often, it is a sale or gift contract if the property has been purchased or donated. It can also be a certificate of ownership if the house was built by the current owner, or received by inheritance. Our appraisers of houses will also be satisfied with an extract from the property register about real estate.
- Technical passport. This document is not always necessary. However, it is often difficult to carry out a full evaluation of the house without information from the technical passport. If you have this document, appraisers will ask for it. If there is no technical passport, please call us before ordering it! Maybe in your particular case it will be possible to do without it.
- For lands:
- Documents on lands. The right to ownership of land plots, registered more than 10 years ago, most often confirms the State Act. This type of document was abolished in 2011. In the sense that new acts are not issued, but already issued, of course, continue to apply. The peculiarity of state acts is also that they were so-called «new» and «old» pattern. If your document does not specify the cadastral number of the land plot, it is necessary to provide appraisers separately with a certificate of its assignment. In more recent documents, the cadastral number is mandatory.
- By property owner:
- Customer’s passport or tax code. Pay your attention, that the only person who can be the customer of the evaluation of any property in accordance with the requirements of the legislation is a person related to the facility. Most often the customer is the real estate seller or successor. There may be many other options for residential evaluation for court, but all such cases are considered individually.
- If you are making an inheritance. It is necessary to provide documents that confirm the heir’s connection with the deceased. That is, to directly or indirectly show the fact that the customer is related to the evaluated house. The package of documents for the execution of the inheritance should include a death certificate of the owner, as well as a will or documents on family ties (marriage certificate, birth certificate, etc.)
In practice, there are often situations where the valuation of the house is needed for the court, but the interested party does not have either part of the necessary documents appraisers, or no documents at all. It may also be that the documents are there, but they do not appear the customer, and third parties. And that is why the real estate itself is the subject of legal proceedings.
Our appraisers of houses specialize in preparing documents for presentation in court, so often face similar situations. And, most importantly for the customer, have time-tested approaches to solving such problems. Please call, we will recommend the optimal algorithm of action in a given situation. It is very important to approach the issue legally correctly, so that later in court not to lose the whole case just for formal reasons.
2. Is it necessary to have a land valuation
This is perhaps the most frequently asked but also the most controversial question. Let’s consider separately the evaluation of houses for a notary and for presentation in court.
Re-registering the household of a notary. If it is about the sale of the house, the notary will definitely ask you to provide additional and expert assessment of the land on which this building is located. But with inheritance and gifts can be different situations. In our article on the specifics of land registration, we described the difference between expert and normative assessment of plots. Therefore, it is best to ask a notary if in your particular case you need an expert assessment of the land plot or it is enough only to determine the cost of the house.
Preparing documents for the trial. With court cases, the situation looks more complicated. The fact is that litigation is different. For example, if in divorce the spouses share the property acquired in marriage, it is clear that both the house and the land should be valued. However, there are cases when the dispute is only about compensation for the cost of building part of the house. Or it is not privatized at all. In this case, we advise you to contact us, as such situations require individual discussion and approach. If your case in court is a lawyer, it is best that our house appraisers are tasked by him. In accordance with his plans and strategy during the trial.
2.1. Land and house valuation is done separately or in a single document?
It depends, again, on the purpose of the evaluation. If we prepare documents for the re-registration of the real estate at the notary, then the evaluation of the house and land are issued by separate documents. Each of these reports the appraiser registers in a special state register. Separately the house, separately the area.
When preparing the documents for the court, it is clear to answer the question whether to separate the land and the house. The fact is that in this case it is possible to estimate both 2-in-1 and separately for the structure and for the site. Which option to choose depends on the particular situation and circumstances of the case. If you have a lawyer, our appraisers will refine his task and do everything according to his process strategy. If you do business yourself, just call. We will discuss everything and, if necessary, advise and explain which option is best to choose in your particular situation.
3. How does an appraiser determine the value of the building and an area
The basic principle of house valuation is that your property costs about the same as the price of a similar property.
Pay attention that it is to buy similar property, rather than calculate the cost of building a similar facility. Legislation permits the construction cost approach only in exceptional cases, as it often distorts the reality.
Consider, for example, areas remote from regional centers, or eastern regions of Ukraine affected by military operations. It is clear that the market value of residential buildings there will be lower than the cost of building such a facility.
There are also reverse examples when there is no free land for development in a popular cottage town or area on sale. As a rule, residential buildings there will be evaluated significantly higher than the theoretical costs of buying a plot and subsequent construction.
However, the biggest feature of determining the value of residential houses for a notary is the need to focus on prices in a special state register.
If your house is located in a densely populated area, for example, not so far from Kyiv or other large city, the problem usually does not arise. This State program calculates the value of such property more or less correctly.
Worse, if the registry automatically calculates the cost of your home ownership in a amount that significantly exceeds the sale price. House appraiser can register the value only 25% lower from «state», but this does not always save the situation.
We try to identify such cases in advance. And in case of detection of problems to inform the customer in advance. That is, before the job is done. Our appraisers value their reputation, so never put the customer before the fact that we registered an inflated value, and then do what you want.
3.1. Features of the evaluation of houses in Kyiv
The situation with overvalued houses described above is very typical for Kyiv. For cities, not for region.
The private sector in the capital, as you know, is very «patchy». Here you can see both real palaces and old collapsing hats, which for unknown reasons are still not demolished. And the expensive land below them is not sold for the construction of a modern cottage or even high-rise buildings.
At the same time, the program-registry will not always be able to automatically determine what we are dealing with: with a palace or with a shack. Therefore, if you need to evaluate the house in Kyiv for its renewal, you need to approach this question carefully. In particular, the choice of an appraiser.
If you have any questions, you are welcome to call! We are always in touch and ready to help you, give an advice and prepare documents with high quality.
How much will you have to pay taxes for re-registering with a notary?
|Real estate seller, gifted/donator or heir/testator – citizens of Ukraine (all parties to the contract)
|Income tax (PIT)
|Selling of house, property rights more than 3 years
|Selling of real estate, property rights less than 3 years
|Gifting or inheritance to close relatives (spouses, children, grandchildren, siblings)
|Gifting of house or inheritance except for close relatives
(pays the gifted or the heir)
(pays the gifted or the heir)
More details about the amount of taxes and fees that will need to be paid by a notary at the re-registration of the apartment, you can read HERE. Of course, in this process, there are certain subtleties and details. Especially if a foreigner is involved in the transaction or in the title deed.
We have all the permits for the expert evaluation of the real estate. The list of these documents, their description and scans can be found in the section of our site “Appraisal company”.
Since the residential, cottages or summer houses evaluation in each case may have its own characteristics, so please, contact us beforehand. We are pleased to provide you with advice!