Municipal Valuation Rolls in South Africa this year!
Category News
A municipal valuation is ascribed to your property by the valuations department at the municipality. These valuations are performed every four years, in order for the City of Cape Town to determine the value of the property. This figure is then used to calculate the rates and taxes which are payable by the homeowner.
What do these valuations actually mean for property owners?
The Cape Town real estate market has fluctuated over the last four years and many properties from the 2018 valuation roll have been overvalued, thus property owners have been paying elevated rates. For landlords with multiple properties, overvaluation can become quite costly.
It is the responsibility of the property owner to check the municipal property valuation for their properties and if the valuation is not in line with market value, the property owner is allowed to submit an objection before the closure of the objection period. The objection period will commence around the 21st February 2023 and closes on the 30th April 2023. However, failure to do so before the objection period is over, will result in the value assigned to your property which is applicable to the duration valuation roll.This implies that for the next 4 to 5 years you could be paying rates based on an incorrect property valuation.
A municipal valuation is conducted using a Comparative Market Analysis - which is the most common method of property valuation, often used by experienced Estate Agents. The best way to go about the municipal valuation is to take matters into your own hands and conduct your own Comparative Market Analysis, with an esteemed Real Estate company. This will provide you with the knowledge of what your property is actually value and in the same breath an objection clause if your home has been overvalued.
Realtors Group undergoes three valuable steps when conducting a CMA for homeowners. We are committed to continuous improvement and by regularly testing and measuring results to ensure informed decisions are made when it comes to completing a CMA for our clients. It has become essential to take initiative and conduct a CMA for your property before it is incorrectly valued, fluctuating your rates and taxes per month.
Contact your Realtors area agent today for a free valuation of your property and a realistic outlook on your municipal valuation.
Author: Realtors Group
