In terms of the local government’s Municipal Property Rates Amendment Act No. 29, 2014 all properties within a municipality have to be revalued every 4 years (maximum duration). An extension can be applied for to 5/ 6 years for major municipalities (such as Ethekwini/ greater Durban).
This is basically a tax collecting exercise where revenue is generated by the application of a “rate randage” or a factor dependent on the usage (legally or illegally in terms of the town planning controls) to the respective property’s deemed open market value at that date of municipal valuation.
This deemed open market value is determined by the respective municipality’s internal valuers or its consultants. This, in the case of greater Ethekwini, is a massive exercise. And with all the best intentions of the municipality’s valuers or their respective consultants, the new municipal value of your property may not correspond/ align with its market value at the next valuation roll undertaking. The municipal value could be above or below market value.
Now the next date for Ethekwini Municipality’s valuation of all the properties on the valuation roll is 1/7/2020 (effective 2021). So our advice is to diarise for the date if you are a property owner in order to be well informed on the publication of the next valuation roll. It is your right to object to the determined municipal value (remember this affects your rates payable every month).