SELECTED METHODS AND FACTORS IN THE RELIABLE APPRAISAL OF AGRICULTURALLY USED REAL ESTATES

Abstract

Effective management of land resources requires implementing suitable policies and tools enabling a sustainable approach towards the improvement of the structure of farms, the acquisition of agricultural properties, their subdivision, as well as
other procedures concerning the use and turnover of agricultural land. A proper analytical basis for managerial decisions includes procedures concerning the estimation of land value. The estimation of agricultural real estate in Poland generally takes place using a comparative approach, however, an alternative to the valuation process is allowed - the land valuation index method, which falls under the mixed approach. The purpose of the following paper is to verify the effectiveness of the land valuation index method in the context of the changing prices of agricultural real estate in Poland over the years. Moreover, there is widespread recognition that the estimation indices depend on the data of the real estate cadastre, as well as on the location of the real estate
differentiated by its affiliation to a given tax district. As emphasised in the literature, the validity of the cadastral data is sometimes problematic and the state disclosed in the cadastre very often differs from the actual state. For the purposes of the following publication, examples of situations occurring in practice and affecting the reliability of the cadastral data on the basis of which the determination of the value of the real estate is carried out were also indicated.