The State Property Fund of Ukraine, in cooperation with the Ministry of Agrarian Policy and the State GeoCadastre, has finalized the functionality of the automatic real estate appraisal service.

As stated in the message of the ministry, the quality of calculations of the estimated value of land plots and real estate in those locations where there were no analogues for its calculation has improved in the work of the service.

Previously, the key problem was that the estimated value of some land plots was calculated incorrectly. This, in turn, created inconvenience for participants in the land market, because based on the estimated value, the tax is calculated when buying and selling a (mini) land plot. In addition, the value of its sale cannot be lower than its appraised value.

 “The automatic assessment service is a very convenient tool that can significantly simplify and reduce the cost of concluding an agreement for the parties. But due to the insufficient number of transactions for comparison and incorrect entry of information about some transactions into the database, there were cases of incorrect calculation of the estimated value in the service. The situation is aggravated by the fact that average prices can be distorted by separate agreements where agricultural land is bought at prices for non-agricultural land, with an eye to their use for other needs,” Roman Leshchenko, Minister of Agrarian Policy and Food of Ukraine, said.

According to Yulia Belova, Deputy Chairman of the State Property Fund, the automatic valuation service is constantly filled with data from real transactions on the market and improved by the Fund's specialists to create an effective and free tool for determining the value of real estate.

“Modernization of the automatic real estate appraisal service took place taking into account consumer feedback. The State Property Fund cooperates with all participants in the process: the Ministry of Agrarian Policy, the Notary Chamber of Ukraine, professional appraisers and takes into account the necessary proposals when updating the service. Such updating will also take place in the future,” said Yulia Belova.

She also added that the algorithms for calculating the estimated value of both land plots and some types of residential real estate, in particular hostels, have changed for the better.

AgroPortal.ua