Decree No. 456 / 2024 Coll.
Decree on price maps of rent
Valid
Order
Effective from 01.01.2025
Text versions:
01.01.2025
23.12.2024
456
DECLARATION
of 19 December 2024
about rental price maps
According to Article 33 (6) of Act No. 151 / 1997 Coll., on the valuation of assets and on the amendment of certain other laws (the Law on the valuation of assets), as amended by Act No. 126 / 2024 Coll.:
Subject matter
This decree provides
(a) entry data entering the creation of rental price maps and the progress of the Ministry of Finance in working with them;
(b) the way in which the rental price maps are drawn up;
(c) the dates of publication of the rental price maps and the form of their publication.
Definition of terms
For the purposes of this decree:
(a) a territorial unit of the territory of the municipality with the exception of:
1. the municipality with extended scope and the capital of Prague, where it is a territorial unit of the cadastral territory,
2. military outages for which rental price maps are not processed and issued;
b) a rental apartment under Section 13 of the Building Act used for the housing of persons,
(c) a description of the number of living rooms under the building law,
(d) an unfurnished rental apartment of more than 5 years old, of the standard size of the relevant size category, corresponding to the size of the living rooms, without barrier-free access, without balcony, terraces, garages, parking spaces and other equipment, which is maintained in good to very good engineering condition,
(e) the reference apartment of a new building, an unfurnished apartment of up to 5 years old, of a standardized size of the corresponding size of the corresponding size of the housing room, without barrier-free access, without balcony, terraces, garage, garage, parking area and other equipment, which is in excellent or very good engineering condition,
(f) entry data entering into the pricing maps of the rental offer price of rental apartments which can be assumed to have been leased under market conditions during the specified period;
(g) by sorting the targeted adjustment of input data entering the price map creation of rent;
(h) floor area floor area under construction law;
(i) through the real estate portal, the internet address used to publish and search offers and requests for real estate for sale or rental;
(j) a new contract concluded between the apartment provider and the lessee of the newly rented apartment, which is implemented on the basis of the information given on the real estate portal.
Price maps of rent
(1) Price maps of rent reflect the level of rent for rental apartments provided under market conditions.
(2) For the purposes of price maps rent is not a decisive property relationship to the rental apartment.
Entry data for price maps
(1) Only input data entering the price maps of the rent are used to create price maps.
(2) The entry data entering the price maps are sorted in the preparation of the data. The procedure for collecting and sorting data is laid down in Annex 1 to this Decree.
Processing of rental price maps
(1) Price maps of rent indicate the rent under a newly concluded contractual relationship.
(2) Price maps for rent are processed for reference apartments or reference apartments of new buildings with a floor area of 16 m2 to 120 m2.
(3) Price maps for rent are processed in 4 size categories according to the layout of the rental apartment, namely:
(a) 1. size category corresponding to the available apartment 1 + kk and 1 + 1,
b) 2. size category corresponding to the available apartment 2 + kk and 2 + 1,
(c) the third size category corresponding to the available apartment 3 + kk and 3 + 1; and
d) 4th size category corresponding to the available apartment 4 + kk, 4 + 1 or more.
(4) The standard size of the reference apartment is given by the median of the areas of rental apartments offered for rent in a given region for a specified period in a given size category.
(5) The standardized size of the new building reference apartment is given by the median of the areas of rental apartments offered for rent in the given region for the specified period in the given size category.
(6) The procedure for the processing of input data entering the creation of rental price maps, the manner in which they are processed and the procedure for the creation of rental price maps is set out in Annex 2 to this Decree.
Procedure for issuing and publishing rental price maps
(1) Price maps of rent issued by the Ministry of Finance contain:
(a) descriptive outputs, which are data on the measurements of individual size categories of the reference apartment;
b) selected price parameters for the reference apartment of the new building in CZK for 1 month and 1 m2,
(c) a graphical representation of the rental maps for the reference apartments and the reference apartments of the new building, which are always separately for the individual size categories referred to in Section 5 (3);
(d) table outputs which each territorial unit is always 1 set of data for each of the 4 size categories, each data set containing at least
1. rent of the reference apartment in CZK for 1 month and 1 m2,
2. lower and upper limit of the rent interval of the reference apartment in CZK for 1 month and 1 m2,
3. data on the minimum and maximum value and value of the median rent in CZK for 1 month and 1 m2 from input data entering the price map of rent and
4th rental of the new building reference apartment in CZK for 1 month and 1 m2.
(2) Price maps for rent are published on the Ministry of Finance's website no later than 45 days after the end of the calendar quarter.
Efficacy
This Decree shall take effect on 1 January 2025.
Minister of Finance:
Ing. Stanjura v. r.
Příloha č. 1
Annex No 1
Procedure for collecting and sorting data for rental price maps in the Czech Republic
1. Price maps of rent are always processed by the Ministry of Finance on the basis of quarterly data.
2. A rental apartment is considered to have been rented, for which an advertisement with the offer of its rental was placed on the real estate portals, which was withdrawn from the offer of real estate portals.
3. Classification of input data for rental price maps has the following sequence of steps:
3.1. Getting time data to publish the advertisement on the real estate portal.
3.2. Removal of unused variables from source data.
3.3. Removal of observations which do not meet the size categories of rental apartments defined in accordance with § 5 (3) of the Decree.
3.4. Removing advertisements that are published for more than 180 days.
3.5. Removing duplicate observations.
3.6. Removing data for which the coordinates of the global positioning system are not specified.
3.7. Allocation of unique numerical marking to each observation.
3.8. Linking half-life data relating to individual transactions (leases) from a global positioning system with land data using polygon. Polygon is the set of points defined by the global positioning system and the coordinates that belong to the territorial unit.
3.9. Assigning territorial information to a given observation. Territorial information shall be considered as:
(a) the name of the cadastral territory;
(b) the code of the cadastral territory;
(c) the name of the municipality;
(d) the municipality code;
(e) the name of the municipality with extended scope,
(f) the village code with extended scope; and
(g) the name of the county.
3.10. Allocation of information on rental housing to observation by unique numerical indication,
(a) categories,
(b) the type of building material;
(c) the state of the object,
(d) ownership;
(e) the floor,
(f) floor area,
(g) type of house,
(h) the location of the house;
(i) the area of the parcel; and
(j) data from the global positioning system.
3.11. Allocation of binary attributes to each observation. Each binary attribute represents one newly created variable and reaches "1" if the rental apartment has a binary attribute, otherwise it reaches "0." Binary attributes are
(a) the balcony,
(b) a parking space;
(c) equipment,
(d) lodžie,
(e) lift,
(f) barrier-free,
(g) the garage,
(h) the terrace; and
(i) technical condition;
1. planned project, in construction process,
2. bad condition, before reconstruction,
3. good to very good,
4. after reconstruction; and
5. new construction,
(j) type of material
1. panel,
2. brick,
3. wooden,
4. Mix,
5th skeleton structure,
6th stone and
7.
Příloha č. 2
Annex No 2
Procedure for the processing of input data entering the price maps of rent, the way they are processed and the procedure for the production of price maps of rent in the Czech Republic
1. The rental price maps in the Czech Republic are drawn up and made up of input data entering the price map of the rental for which the classification according to Annex 1 was carried out.
2. Price maps of rent are the output of multiple log- linear hedonic regression model calculated at offer rental prices in the Czech Republic.
3. Price maps of rent are divided geographically into individual territorial units.
4. The rent for the given size category and the given territorial unit shall be determined as the exponential value of the regression function constant.
5. The lower limit of the rent interval of the reference apartment per m2 shall be determined as the lower between the prediction interval (2,5%). The upper limit of the rent interval of the reference apartment per m2 is determined as the upper limit between the prediction interval (97,5%). The lower and upper limits of the predictive interval represent the price level in which the m2 of the reference apartment is offered in a given size category in a specific territorial unit.
6. Data on the minimum and maximum value, including the median of the rental reference apartment per m2, correspond to the price level obtained from the original rental data on the market.
7. The general specification of the price map model is:
ln (rent bid price per m2) = β0 + βi * ln (xi) + βj * xj + ε
where ln expresses the natural log,
β0 expresses the mean value of the price level when it is the natural log of the model constant,
β i and β j express individual regression coefficients,
xi and xj express individual independent variables,
ε expresses the unexplained part of the model of rental price maps.
7.1. In the rental price map model, the explanatory variables are the total floor area and the average area of one room expressed in logarithms, the other variables are in linear expression.
7.2. The recording of the general structure or composition of the log- linear model of rental price maps shall be carried out:
(a) entering into the relationship between the explained variable and all specified explanatory variables;
(b) the specification of the data input by which the data source referred to in Annex 1 is prepared and described;
(c) entering the listing and requested outputs from the log- linear model of rental price maps;
(d) the creation of a loop structure of calculations of individual regression functions for each territorial unit.
7.3. The control of the occurrence of multicolinearity in individual predictors is performed using the loop function of calculating correlation matrices in each territorial unit. In the event of multi-collinearity between predictors, the problem predictor is automatically excluded from the regression model in the territorial unit. The assumption of a sufficient number of observations to calculate the regression function is checked using the selective function. If there is a small number of observations in the territorial unit, then it shall be supplemented by observations from the surrounding territory.
7.4. The check and correction of the data sample are carried out at this stage of the regression model using the analysis of Cook's distance.
7.5. The stability of the regression coefficients obtained and the stability of the rental price map model are checked using the bootstrapping method.
8. The rental of the reference apartment of the new building is determined in the price maps of the rent on the basis of the product of the coefficient of the reference apartment of the new building and the rental of the reference apartment in the relevant size category.
9. The coefficient of the reference apartment of the new building is determined by the share of the rent of the reference apartment of the new building and the rent of the reference apartment. For the purpose of calculating the coefficient of the reference apartment of the new building, data for rental apartments are always used for both the reference apartments and the reference apartments of new buildings with the size of a median size of rental apartments in the Czech Republic. The formula for this relationship is:
Wet construction = Wet construction Cref,
where the new building is expressed as a coefficient for the reference apartment of the new building for a given territorial unit,
Cnovobuilding expresses the price of the monthly rent in CZK for 1 m2 of the reference apartment of the new building in the given local unit with the size of the median size of rental apartments in the Czech Republic,
Cref expresses the price of monthly rent in CZK for 1 m2 of reference apartment in the same territorial unit with the size of median size of rental apartments in the Czech Republic.
The rental price map model specified in paragraph 7 of this Annex shall be used to calculate the prices referred to in this paragraph.
Where, due to a lack of input data, a coefficient for the reference apartment of a new building cannot be determined, the calculation of the reference apartment of a new building shall be made over the region and the regional figure shall be applied instead of the coefficient applicable to that territorial unit.
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Regulation Information
| Citation | Decree No. 456 / 2024 Coll., on price maps for rent |
|---|---|
| Regulation Type | Order |
| Author | - |
| Collection | Code of Laws |
| Date of Promulgation | 23.12.2024 |
|---|---|
| Effective from | 01.01.2025 |
| Effective until | - |
| Status | Valid |
Legal Areas:
Civil law
Civil law substantive
The regulation text is for informational purposes only.
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