Transcript Crisis and Property Market: Lithuania, 2009

Real Estate Market Data &
Value Spreadsheet‘s Boom in
Lithuania
Report’s Authors:
Steponas Deveikis, Saulé Deveikyté
Biruté Galiniené, Lina Lizunaité
BVC‘2013, Harpa, Reykjavik, 20th September, 2013
References:
Centre of Registers;
 State Institution on
Property Valuation
Oversight Agency;

Real Estate Agencies:
Ober-Haus RE,
Re&Solution, etc.
State Universities
Introduction …
The Centre of Registers
in Lithuania
administrates the
registers of real
property, legal
entities, and
addresses, some of
the most important
state registers, fulfils
the functions of a
traditional cadastral
agency. It is
authorized to perform
valuations for public
needs.
Website of the Centre of
Registers is the main source
Legal framework for the Real
property administration in LT
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Law on Real Property Cadastre;
Law on Real Property Register;
Law on Land;
Law on Construction;
Law on Territorial Planning;
Law on Real Property Tax;
Law on Background of the Property and
Business Valuation.
Some Government Rules and Regulations
Real Property Valuation and Market
Analysis: Main Activities
Provision of real property market data via the
Internet (to external users)
Mass valuation
Presentation of data and
solutions via the Internet to
the mass valuation specialists
of the Centre of Registers
Value zones and
models
Transactions for
mass valuation
Values established
by mass valuation
Ratio studies
information
Assessed values
Area-adjustment
coefficients
Information for
social support
Comparable objects of real property
Value spreadsheet with time-adjustment
function
Statistics of the
Dwellings stock
Real property cost
tariffs
Data for the
Department of Statistics
Number of real property
transactions
self-service
Dynamics of real property market
transactions
Annual packet of transactions
Analysis of transaction prices
self-service
Forecasts in the process of development
Appeals against real property taxable values
(the system for information provision and sharing
between the Centre of Registers, the State Tax
Inspectorate and the complainant –
in the process of development )
Presentation of the mass valuation results via the
Internet (to external users)
Real Property Register
Spreadsheet for nonregistered property
Social Welfare Division of
Municipalities
Property Market Data Collection
After the formation of a new
property it must be surveyed
and included in the Real
Property Cadastre
After the transaction notaries send
information within 24 hours, later
the purchaser of real property registers
the property in the RP Register.
Rights to real property are
registered in the Register of
Real Property
The contract price is also entered
into the database
More than 6 million units
1 000 000
Since 1998
Central data bank of the Cadastre
and the Register of Real Property
Data bank of Real
property market
RE market analysis:
Apartment prices trend
Vilnius, Karoliniskes, 1998 - 2009
Source: Centre of Registers, Lithuania
RE market: HPI
(LT; OHBI; USA)
Actual Housing Price Index
The Real Estate Price
Index of sold flats in LT
(country level):
Red line – comparing
prices with Quarter 4, 1998
Blue line – comparing
prices with previous
Quarter
Valuers’ Activities and New Technologies:
Sales Data On-line Search System
Transaction type
Municipality, address
Sales data
Wall material
Type of real estate use
Price level
Object No in transaction
Zone
Area
Search Result by Internet
Spreadsheet for Determining Market Value
with Time Adjustment Function
RE market: market price trends
Valuation and GIS visualization
Valuation and GIS visualization

The graphical visualization is used in mass and
individual valuation practice. The framework of
mass valuation maps is envisaged to public and
valuers by internet as an additional material.
(2)
Spatially Enabled Society
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The idea of interaction between different sectors
of GIS and valuation practice is in action at the
moment.
Data integration concept is necessary to be
considered as a key element of a Spatially
Enabled Society. Data integration involves
combining data residing in different sources and
providing users with a unified view of these
data.
A new generation of Internet products, such as
Google Earth, Maps.lt, are stimulating a greater
interest and use of digital Geography in society.
Re-use of Market Data
Valuers’ enterprises have prepared web applications to
demonstrate a Property transactions’ value maps. Data
and digital maps are an essential raw material and give
new possibilities to analyse and visualise market data.
Some companies’ websites suggesting
real property spread-sheets / property
market prices visualization
Web-sites
www.untu.lt
www.bustokaina.lt
Starte Operate by
d since manager
2011
RE/MAX
(Lithuania)
2012
RE/MAX Bravo
www.ntkaina.lt
Parent company
Comments
RE/MAX
Visualization
in map
Visualization
in map
Google maps
RE/MAX
Nov.
2012
www.ntvertinimas.lt n/d
Ober-Haus
Ober-Haus
n/d
n/d
www.ntpatarejas.lt
2012
n/d
DNB
www.ntsandoriai.lt
March
2013
May
2013
UAB Atvira
erdve
Alna Software
www.ntguru.lt
Newsec/Re&Solution
Mobil
application;
GPS;
GooglePlay,
iTunes
Mobile technologies
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All companies’ websites
presented in previous
table use the data of
the Centre of Registers.
Mobile application of
the value spread-sheet
with support GPS,
Google Play, iTunes is
developed in Lithuania
by Newsec/Re&Solution
Value and price is being
visualized … in your
pocket.
Juridical challenges
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New regulations, adopted in Lithuania in the middle
of 2012, have stronger attitude on using real
property market data for the preparation of valuation
report. However, the provision of real property
market data from Centre of Registers to external
users became complicated. Further provisions or an
open access to property market data is not
clear at the moment in Lithuanian individual
valuation practice. Centre of Registers
discontinues many possibilities to get property
market data in greater packages, e. g. annual
package of market transactions.
Final Remarks and
Conclusions
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The main function and mission of the Centre of
Registers are the administration of three main state
registers, such as Real Property Register and
Cadastre, the Register of Legal Entities, and the
Address Register. In fact, the Centre of Registers
acts as a centre of creating and developing
register-data-based systems.
The Real Property Register and Cadastre contains
data of all real property objects registered in
Lithuania. Data in the Register and Cadastre is
public including cadastral maps and most of …………
cadastral files and copies of transaction
documents.
Final Remarks and
Conclusions (2)
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The market research and property valuation unit –
Real Property Valuation department provides to the
clients statistical and actual authentic data on real
property market. The database contains actual data
on all real property transactions made since
1998. The mass valuation is a primary function of
this department and mass valuation process is
performed yearly. The output of mass valuation –
an average market value of land and buildings is
used for various economic and taxation needs.
The contradictions between the Centre of
Registers and Property data users rise
constantly. It’s Market and Monopoly…
Final Remarks and
Conclusions (3)
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The State Enterprise Centre of Registers is selfeconomic, self-financing entity, and their supplied
data is not free of charges; also many Data re-use in
public or private business is prohibited by Centre of
Registers.
The attitude of the Centre of Registers is not
reasonable. Lithuanian proverb says “a dog on the
hay“. The discussions on the public mission,
interrelationship between business society and
Centre of Registers, and national inputs to property
administration system are needed and
desirable in Lithuania.
Thank you for your
attention, BVC team
Thank you for attention