Property valuations; have you scrutinised yours?

The Newcastle Municipality has officially opened the property valuation roll for the 2014 year, and residents have until April 18 to raise their objections.

The market value of your property is directly linked to the bracket your rates fall under, thus, affecting your pocket. Therefore, it is essential to scrutinise your property valuation amount, as sent to you by the municipality, and then cross reference the amount on the official roll.

How is the market value of the property determined?

The market value of the immovable property is the amount the property would have realised if sold in the open market by a willing seller to a willing buyer.

To protect owners of immovable property, the law requires municipalities to employ the services of professional valuers who are registered as valuers in terms of the Property Valuers Profession Act, 2000 (Act No.47 of 2000).

These valuers know how to value immovable properties which have not yet been sold in terms of the principle of “willing seller to a willing buyer”, and they are well trained to ensure that all properties are valued fairly and objectively.

How to lodge objections regarding the determined market value of the property?

After a municipality has completed its valuation of immovable properties within its jurisdiction and produced a property valuation roll, the municipality invites members of the public to inspect the property valuation roll within a stipulated time frame, and to raise objections within a stipulated time frame.

The municipality must also forward each immovable property owner with an extract of the property valuation roll pertaining to that owner’s property.

Should the immovable property owner be not satisfied with the market value of his/her property reflected in the property valuation roll, such immovable property owner should approach his/her municipality to lodge objections, citing reasons behind such objections.

The law requires that the objector continue paying rates while his/her objections are being processed and finalised. On finalisation of the consideration of objections, if there is evidence that the market value reflected on the property valuation roll is wrong, the law requires the municipality to correct the situation, and where such correction results in rates refunds to the ratepayer, the municipality is obliged to refund the

ratepayer. In a case where the ratepayer’s property was undervalued, the ratepayer is obliged to pay the additional rates to the municipality.

Residents who wish to read more about the municipal property valuation regulations can visit www.municipaledge.co.za.

Residents only have a limited time to raise objections to the property valuations, and are urged to do so, as no objections will be accepted after April 18. The official roll will be available in the main building in office G39 or at the libraries. For more information, contact the valuations department of the municipality on 034 328 7634.