1. 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

2. References: Centre of Registers; Real Estate Agencies: State Institution onOber-Haus RE, Property Valuation Re&Solution, etc. Oversight Agency; State Universities

3. 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.

4. Website of the Centre of Registers is the main source

6. Legal framework for the Real property administration in LT 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

7. Dynamics of real property market transactions Annual packet of transactions Value zones and models Transactions for mass valuation Values established by mass valuation Ratio studies information Assessed values Statistics of the Dwellings stock Real property cost tariffs Data for the Department of Statistics Area-adjustment coefficients Information for social support Presentation of data and solutions via the Internet to the mass valuation specialists of the Centre of Registers Mass valuation Comparable objects of real property Value spreadsheet with time-adjustment function Number of real property transactions self-service 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 ) Real Property Register Social Welfare Division of Municipalities Spreadsheet for non- registered property Presentation of the mass valuation results via the Internet (to external users) Provision of real property market data via the Internet ( to external users) Real Property Valuation and Market Analysis: Main Activities

8. Property Market Data Collection After the formation of a new property it must be surveyed and included in the Real Property Cadastre Rights to real property are registered in the Register of Real Property Data bank of Real property market Central data bank of the Cadastre and the Register of Real Property After the transaction notaries send information within 24 hours, later the purchaser of real property registers the property in the RP Register. The contract price is also entered into the database 1 000 000 Since 1998 More than 6 million units

9. RE market analysis: Apartment prices trend Vilnius, Karoliniskes, 1998 - 2009 Source: Centre of Registers, Lithuania

10. RE market: HPI (LT; OHBI; USA)

11. 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

12. Valuers’ Activities and New Technologies : Sales Data On-line Search System Type of real estate use Transaction type Sales data Wall material Price level Object No in transaction Zone Area Municipality, address

13. Search Result by Internet

14. Spreadsheet for Determining Market Value with Time Adjustment Function

15. RE market: market price trends

16. Valuation and GIS visualization

17. Valuation and GIS visualization (2) 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.

18. Spatially Enabled Society 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.

19. 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.

20. Some companies’ websites suggesting real property spread-sheets / property market prices visualization Web-sites Starte d since Operate by manager Parent companyComments www.untu.lt2011RE/MAX (Lithuania) RE/MAXVisualization in map www.bustokaina.lt2012RE/MAX BravoRE/MAXVisualization in map www.ntkaina.ltNov. 2012 Ober-Haus Google maps www.ntvertinimas.ltn/d www.ntpatarejas.lt2012n/dDNB www.ntsandoriai.ltMarch 2013 UAB Atvira erdve Alna Software www.ntguru.ltMay 2013 Newsec/Re&SolutionMobil application; GPS; GooglePlay, iTunes

21. Mobile technologies 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.

22. Juridical challenges 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.

23. Final Remarks and Conclusions 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.

24. Final Remarks and Conclusions (2) 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…

25. Final Remarks and Conclusions (3) The State Enterprise Centre of Registers is self- economic, 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.

26. Thank you for attention Thank you for your attention, BVC team