The cadastral value of a property represents an objective administrative evaluation of a property, based on the data contained in the Real Estate Cadastre. This valuation is calculated considering several factors, such as the value of the land, the size of the property, the value of the construction and its age, among other relevant elements.
What is the real estate cadastre?
The Real Estate Cadastre is an administrative registry under the supervision of the Ministry of Finance and Public Function, in charge of describing real estate, whether rural, urban or with special characteristics. In contrast to the Land Registry, registration in the Cadastre is compulsory and free of charge.
Unlike the market value, the cadastral value tends to be lower and can be useful as a reference when considering the purchase of a home. It also plays a crucial role in procedures such as the calculation of the Real Estate Tax (IBI).
The real estate cadastre: what is it and what data does it contain?
The Cadastre is an administrative registry that contains detailed information on real estate, both urban and rural. Here you can find data such as location, built surface, land use and cadastral reference, a unique 20-character code to identify each property, providing greater security.
How is the cadastral reference interpreted?
The 20 characters of the cadastral reference have specific meanings. For urban properties, the first digits indicate the location, the plan sheet, the identification of the property within the estate and control digits. For rural land, these characters identify the province, municipality, sector, polygon, parcel, property and control digits.
Check the cadastral value of a home
The determination of the cadastral value of a property varies depending on whether you are the owner or not:
- If you are a property owner, the cadastral value is usually detailed in the most recent IBI receipt, providing a quick way to access this information.
- In the absence of a receipt, the Cadastre Office allows you to consult this valuation through its Electronic Headquarters. This platform provides access to public information and, after identification, to private data on the property.
Protected data, such as the owner’s name and specific cadastral values, are only accessible to the cadastral holder and authorized entities by means of a digital certificate.
Access to the cadastral value without digital certificate
If you do not have an IBI receipt or a digital certificate, it is still possible to obtain the cadastral value of a property:
- The Cadastral Information Points allow access to protected data after submitting a request. They also offer telematic certificates for other procedures.
- Some municipalities or provincial councils have centers for cadastral procedures.
- The Cadastre Hotline provides telephone assistance for accessing public data.
How does the cadastral value affect you?
The cadastral value has a direct influence on taxes, although its impact has changed recently. Previously, it had an impact on several taxes, from IBI to regional and state taxes such as the Wealth Tax. Now, its relevance is mainly concentrated in the IBI, although in the municipal capital gains tax, depending on the calculation formula, it may continue to be a determining factor. The revision of the cadastral value may generate changes in the IBI tax base, but progressive reductions are applied for ten years to mitigate its direct impact on this municipal tax.
The increase in the cadastral value does not necessarily imply an immediate increase in the IBI payment. There are mechanisms to control this effect, such as the progressive reduction applied over ten years. Local councils also have the margin to establish tax rates, with ranges between 0.4% and 1.1% for urban real estate, as well as to approve bonuses that limit the individual increase in the IBI quota after the cadastral revision, with a maximum duration of three years.
Calculation of the cadastral value
The Real Estate Cadastre Law regulates the process of calculating the cadastral value. This regulation establishes how to assess this value based on the land, the construction and other elements such as the size of the land, age, use, depreciation and the charges associated with the property.
The cadastral value, although it is a valuable reference for considering the purchase of a property, is usually lower than the market value, mainly due to the periodicity of cadastral revisions.
Knowledge of the cadastral value is essential not only for tax assessment, but also as an initial guide when considering real estate transactions, providing an overview of the economic status of a property.
Understanding the cadastral value of a property is fundamental to make decisions about real estate transactions and tax obligations, being a key tool in the management and evaluation of assets.
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