Market value of real estate in Poland

Market value of real estate in Poland is an estimated value at the valuation date of the property for sale on market terms between the buyer and the seller, who have a firm intention to enter into an agreement, act discreetly and act prudently and is not in a forced situation.

Market value is supposed to map the price of a particular property, obtainable on a specific (as to time and place) market. The "market value of real estate" is an approximation.

The courts and administrative bodies determine the market value of the property on the basis of evidence from expert opinions appointed by property experts.

Definition market value in Polish law

The legal definition of market value of real estate is contained in article 151 sec. 1 Act of 21 August 1997 on real estate management: "The market value of a property is its the most probable price, obtainable on the market, determined by taking into account transaction prices when adopting the following assumptions:

  • the parties are independent, do not act in a coercive situation and have a firm intention to enter into a contract,
  • time needed to expose the property on the market and to negotiate the terms has expired.

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