Start Date
23-11-1988 4:30 PM
End Date
23-11-1988 6:30 PM
Description
The first section of this paper describes some general administrative and political problems related to valuation of agricultural property in Denmark. In section 2 the main features of the Danish valuation system are outlined. The administration of the system, the main requirements for values and the types of taxation related to properties are described. The Danish use of computer valuation is commented on. Section 3 contains a discussion of the use of an income approach in relation to agricultural properties. Also experiences concerning the use of an income approach in relation to a computer valuation system for forest properties are briefly presented. In section 4 a new valuation system concerning agricultural properties based on economic models is presented. Each step in the computerized proces of gathering information and assessing values of agricultural land, farm buildings and farm houses is described. An evaluation of the new valuation system for agricultural properties is given in section 5. The general conclusion is that the estimated total values produced by the new system are closer to market values than manually assessed values. The question of statistical fit of the model is weighed against political considerations and restrictions concerning administrative costs.
Publication Date
11-23-1988
Recommended Citation
Pedersen, Jørgen, "Computer valuation of agricultural property in Denmark" (1988). International Research Symposium. 9.
https://researchexchange.iaao.org/irs/irs88/sessions/9
Computer valuation of agricultural property in Denmark
The first section of this paper describes some general administrative and political problems related to valuation of agricultural property in Denmark. In section 2 the main features of the Danish valuation system are outlined. The administration of the system, the main requirements for values and the types of taxation related to properties are described. The Danish use of computer valuation is commented on. Section 3 contains a discussion of the use of an income approach in relation to agricultural properties. Also experiences concerning the use of an income approach in relation to a computer valuation system for forest properties are briefly presented. In section 4 a new valuation system concerning agricultural properties based on economic models is presented. Each step in the computerized proces of gathering information and assessing values of agricultural land, farm buildings and farm houses is described. An evaluation of the new valuation system for agricultural properties is given in section 5. The general conclusion is that the estimated total values produced by the new system are closer to market values than manually assessed values. The question of statistical fit of the model is weighed against political considerations and restrictions concerning administrative costs.