Value factors

Value factors are characteristics of a property that affect the market value of the property.

Please note that the characteristics registered in the property tax register on November 30 of the appraisal year affect the appraised value of your property. Any change which occurs after the 30th of November will not be taken into account for the upcoming tax year.

Please observe that you must report all changes in the use of your property. The same goes for extensions that may affect the value more than 5,000 €.

The following value factors are considered:

  • Usage
  • Location
  • Size
  • Condition (only for objects)
  • Finished/Unfinished

Usage

The market value of a property is affected by how the property is used. When the appraised value is determined this is considered by classifying all properties into different value categories. Each value category is appraised separately and value zones and value levels are determined for every category – these value categories are appraised separately.

Location

Location is considered by dividing each municipality into different value zones based on how the market value varies depending on where a property is located. For each value zone a value per square meter is determined. This is called value level.

Size

The size of a property has a direct impact on the appraised value. Area of the property (m2) is multiplied with the value level.

Condition

The value factor condition is only applied for objects (buildings). Condition is considered by determining a condition standard for each object. Each standard has a condition coefficient.

Finished/Unfinished

Whether the object is finished or not, also affects the appraised value. An object is considered unfinished when final works have not started. For unfinished objects, the appraised value is 40% of what it would be if finalized. This is considered by applying a finished coefficient.

The finished coefficient can be either 1 or 0.4.

  • The coefficient is 1 when finished
  • The coefficient is 0.4 when unfinished

Formulas

All the value factors affect the appraised value. Some are reflected in the value levels (usage and location), others are considered through coefficients (condition and finished/unfinished). Area (size) is the base in the formula for appraised value.

The formulas for appraised value are different for parcels and objects.

 Appraised value for parcels= Area (m2) * Value level (€ per m2)

 Appraised value for objects= Area (m2) * Value level (€ per m 2) * Condition coefficient* Finished coefficient 
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