PECULIARITIES OF MASS VALUATION OF REAL ESTATE IN LITHUANIA

Abstract

During the mass appraisal of property, “districts or zones are taken en masse and thus the price of a measure (are, square) is determined, and then the total price is calculated according to the size of the object. The amount of the mass appraisal is always indicated in the extract from the State Enterprise Centre of Registers, but only in rare cases can the amount of the valuation determined in this way correspond to reality. More often than not, the amount does not correspond to the real selling price - it can be both too small and too high compared to the real value” (Slukinas, 2019). 

The aim of the work is to evaluate the peculiarities of mass mass appraisal of real estate in Lithuania and to reveal the point of view of real estate experts.

Comparisons between Lithuania and Poland show that simple calculations based on one of the most important variables are used more often in Lithuania, and Poland tries to rely on two values more often. When considering the issues, Lithuania pays more attention to the accuracy of the comparison, the derivation of differences in values and their formulas, especially using the method of comparison.

After the analysis of the results of the expert questionnaire survey, it was established that the experts evaluate on average the accuracy of the mass appraisal to determine the average market value of real estate. Most experts use the comparative method, a small part - income and expenditure methods. The main pros of real estate mass appraisal have been singled out, i. y. convenience, speed, use of reliable data, grouped by territories, calculation of taxes, fast and convenient finding of real estate predicted value. The main disadvantages are the non-compliance of the value of real estate in the market, inexpediency and unreliability. The main aspects of the improvement of mass appraisal in Lithuania are singled out, i. y. taking into account the individual characteristics of the assets, adding comparative features, more criteria, changing the calculation methodology, more competent appraisers and more reliance on real estate transaction prices.