TIRANA, Feb 8 ATA/ – A nationwide property revaluation scheme is set to commence this month in Albania, applying a reduced 5% tax rate that is expected to generate around 150 million euros in budget revenues, property expert Gjergji Begaj said.
Under the scheme, homeowners who revalue their properties will avoid paying the full 15% capital gains tax at the time of sale, instead settling a lower levy on the difference between the registered value and current market prices.
The initiative aims to align officially registered property values with real market prices, addressing long-standing discrepancies that have affected transactions and tax collection.
“The revaluation system is based on two key elements,” Begaj told the Albanian Telegraphic Agency (ATA). “First is the fiscal price set by the Ministry of Finance for each cadastral zone. Second, owners may adjust their property value to reflect market prices through a report prepared by licensed private experts.”
Begaj said the scheme is particularly beneficial for owners planning to sell, donate or transfer property through inheritance, as well as businesses holding real estate undervalued on their balance sheets.
Participation in the revaluation process is voluntary. Properties already registered at fiscal value will not incur additional charges. Owners whose properties are registered below market value may opt to revalue and pay 5% of the difference over a 12-month period.
Licensed private assessor will prepare the revaluation reports, which must be registered with the State Cadastre Agency (ASHK) to qualify for the reduced tax rate. The process applies only to properties with completed ownership certificates and accurate cadastral records.
Properties under legalisation or registration procedures are excluded.
Begaj noted that price disparities are particularly pronounced in Tirana, where apartment prices range from around 800 to 5,000 euros per square metre depending on location.
For buildings privatised before 1990, depreciation of up to 30% may be applied to the property’s value, he said.
According to Begaj, the scheme benefits multiple stakeholders. “Citizens benefit from lower taxes, the state increases revenues, and the real estate sector gains from increased market activity,” he said.
The previous revaluation round, carried out between 2020 and 2022 with a 3% tax rate, covered 168,000 properties and generated 12.7 billion lekë in budget revenues.
Applications for the new revaluation scheme will be accepted until Dec. 31, 2026, with administrative processing allowed through March 31, 2027.
This marks the fourth property revaluation initiative introduced by the government since 2009, aimed at narrowing the gap between registered property values and actual market prices.
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