Scope of the Different Methods for the Valuation of Properties in Spain (I)
R. D. 1020/1993 and R. D. 1492/2011
The primary purpose of the Spanish Royal Decree 1020/1993, about Valuation Rules and Value Frame for Land and Construction, is the determination of the Cadastral Value of urban properties, whose data constitute the Spanish Urban Real Estate Cadastre. Moreover, the Spanish Law 58/2003, about General Taxes, states that the value of the real estate affected by tax obligations can be checked by the Administration using the values established by the Real Estate Cadastre, by applying the multiplier coefficients determined by competent tax authorities, as established by regulation. For all the above, the technical standards of valuation expressed in Royal Decree 1020/1993 apply for the following purposes:
- determination of the Cadastral Value of any urban real estate
- determination of the tax base in the tax about Property Transfer and Documented Legal Acts
- liquidation of the taxable events of the tax about Successions and Donations.
Spanish Royal Decree 1492/2011
The Spanish Royal Decree 1492/2011, about the Valuation Rules of the Spanish Land Act, applies to the valuation of land, facilities, buildings and constructions, and of rights made in connection therewith, whenever the final purpose is one of the following:
- checking the sharing of benefits and burdens, or other operations required by the implementation of the territorial and urban planning in which the valuation delimits the financial content of powers or duties associated with the right to property, in the absence of agreement among all affected subjects
- determination of fair compensations in expropriations, regardless of the purpose and the laws governing the process
- determination of the amount payable to the owner in cases of forced sale or substitution
- determination of the financial guarantee of a Public Administration.
Architect Daniel Trujillano
http://www.arquitectotrujillano.com/valuation/home.html
Real Estate Valuation Reports in Spain
