Calculates The Property Trend

CALCULATES THE PROPERTY TREND

Before you go to the investment in property, you must do one task first. It's mean you must do calculates the property trend. There are several ways to calculates the property trend for rising real estate prices in the region / non-region. We recommend that the growth should be at least 3 years optimal for 5 years in order to minimize "confusion".

First . Example : Government Version in Indonesia

The government, in this case, is the GTC (Great Tax Collector), one of Indonesia's most important financial assets, while maintaining a stable interest in the market where T3S (The First Tax Service) office has received the city or province of T3S in each area.

T3S collects data on the trades of assets already acquired :

1. The Notary Public (PPAT)
2. District (such as PPA, if there is no record in any area)
3. Professional Property Brokers (ERA, Century21, RayWhite, etc)
4. The Banking
5. Observation of the tax officers themselves in the field to make adjustments to the value if there are considered odd.

The further expansion made by the Harare Office can be seen in UUN for the current year, where we can compete with the current financial crisis over the past few years and will meet the highest rise in value. Usually rises (NJ) and NJOP value of modified buildings (but each year the JNOP building declines due to annual decrease).

There are 2 things that will be obtained if doing this way, such as positive effects and minus effects :

Positive Effect :

• The data is complete in all regions throughout Indonesia
• The value is accurate and sure, easy to estimate the actual price
• NJOP is usually used for calculation of income tax (PPh) and BPHTB

Minus Effect :

• Its bias, does not show actual purchase price
• The value is usually below the current market price
• The value of the building does not take into account the depreciation value to be earned

Second . Example : Real Estate Developer Version in Indonesia
The real estate developer is a "small king" in a complex environment that he has, and therefore he has the right to determine the selling price of his unit of assets together with rising prices to invest.

To know the trend of rising real estate prices, especially in the new unit (on the primary market), can be compared by :

1. The Units of property (dwelling houses, apartments, towers, workshops, kiosks ...) of the same type
2. in the same clusters is the same type (LT, LB, specification, model)

From there you usually find a trend to increase the price of real estate developers that will follow these steps :

1. Unit costing calculation used per unit of property to be sold
2. Estimate how long marketing can sell it
3. Calculate the Future Value of the Present Value unit costing it
4. Provide progressive discount, the earlier the bigger the discount
5. Gradually increase selling price according to sales progress

The same way as before that this way can also show 2 effect that is positive effect and minus effect :

Plus Effect :

• Indicates the actual transaction price
• Dynamic price, quickly adjust the market price
• Real data obtained directly in the field

Minus Effect :

• Could cause "inflation" in NJOP
• The data is hard to come by for outsiders
• Bias (also), usually deliberately made not the same as the actual transaction price based on NJOP