INTRODUCTION

The publication of a new General Valuation Roll (GVR) is a pretty big moment in the property world a bit like report card day for properties and with the release of the 2026 GVR by the eThekwini Metropolitan Municipality, property owners across the municipality whether they own residential homes, commercial buildings, or industrial properties should take a little moment to check in on the valuation assigned to their property. Why the fuss? Well, municipal property valuations are the numbers used to calculate the municipal rates that property owners must pay. In other words, the valuation can have a very real effect on your monthly bills.

Thankfully, the valuation process isn’t just someone guessing numbers behind a desk. It is guided by legislation designed to promote transparency, fairness, and accountability. Most importantly, it also gives property owners clear rights to question or challenge a valuation if something doesn’t seem quite right.

This article takes a friendly stroll through the legal framework that governs municipal property valuations and highlights the practical steps property owners may want to consider after the publication of the 2026 GVR. Think of it as a handy little guide to help you understand what the valuation means and what you can do about it if you think your property’s “report card” needs a second look.

LEGISLATIVE FRAMEWORK

Municipal property valuations in South Africa are primarily regulated by the Local Government: Municipal Property Rates Act 6 of 2004 (“MPRA”). The MPRA requires municipalities to compile and maintain a valuation roll reflecting the market value of all rateable properties within their jurisdiction.

The purpose of the valuation roll is to ensure that municipal rates are imposed in an equitable and transparent manner. Municipal property rates remain one of the most important sources of revenue for local government and are essential to the funding of public services such as road infrastructure, waste management, water services, and community facilities.

In terms of the MPRA, municipalities must periodically conduct a general valuation of all properties within their jurisdiction. The resulting valuation roll remains valid for a prescribed period, subject to any supplementary valuations that may arise due to changes affecting specific properties.

DETERMINATION OF MARKET VALUE

The valuation of properties in the GVR is undertaken by a municipal valuer appointed in accordance with the MPRA. The municipal valuer is required to determine the market value of each property as at the valuation date, defined in the legislation as the amount the property would reasonably be expected to realise if sold on the open market by a willing seller to a willing buyer.

In determining market value, valuers typically consider a range of relevant factors, including such as:

• Comparable property sales within the surrounding area;
• The location, size, and physical characteristics of the property;
• Applicable zoning and land use rights;
• Improvements to the property, including buildings and other structures; and
• Prevailing conditions within the property market.

It is not uncommon for municipal valuations to differ from valuations obtained privately for financing, insurance, or sale purposes. Municipal valuations are conducted in accordance with statutory methodologies and are based on market conditions as at a fixed valuation date.

CATEGORISATION OF A PROPERTY

Believe it or not, every property has its own little “identity badge” in the municipal world. This is known as property categorisation, and it plays a very important role in the municipal valuation and rating system.

In simple terms, municipalities sort properties into different groups based on how they are used, their zoning, and their general characteristics. These groups usually include residential homes, commercial properties, industrial sites, agricultural land, and even vacant land. By placing similar properties in the same category, municipalities can make sure that everyone is treated fairly and that the rules in the municipality’s Rates Policy are applied consistently.

Getting the category right is more important than it might seem at first glance. Think of it like putting the right label on the right box. When a property is placed in the correct category, the municipality can apply the appropriate tariffs and determine whether the property qualifies for any rebates, exemptions, or reductions that might be available under municipal policies. The property’s category is also officially recorded in the municipal valuation roll, which acts like the municipality’s big record book for all properties and how they are rated.

The category of a property has a direct impact on how much the property owner will pay in municipal rates. Different categories are linked to different tariffs, which means the classification helps determine the final amount that appears on the municipal bill. For this reason, it is essential that a property’s category accurately reflects its actual and permitted use. When categorisation is done correctly, it helps keep the system transparent, consistent, and fair for everyone involved and ensures that every property is charged just the right amount, not a cent more or less.

PUBLICATION AND PUBLIC INSPECTION

Once the GVR has been compiled, the municipality must publish a notice informing property owners that the roll is available for public inspection. During the inspection period, property owners are entitled to review:

• The valuation assigned to their property;
• The property description and recorded details; and
• Comparable valuations for neighbouring or similar properties.

This inspection period represents an important safeguard within the valuation process and provides property owners with an opportunity to verify the accuracy and reasonableness of the valuation. Property owners should treat this stage with particular care, as it provides the primary opportunity to raise formal objections. Take note the GVR closes on 31 March 2026.

LODGING AN OBJECTION

The MPRA provides property owners with the right to lodge a formal objection if they believe that a property valuation recorded in the roll is incorrect.

Objections must be submitted within the timeframe specified in the municipality’s notice and must comply with the prescribed procedures and forms. When lodging an objection, property owners should provide supporting evidence where available. Relevant supporting documentation may include:

• Evidence of comparable property sales;
• Independent professional valuations;
• Documentation reflecting the physical condition of the property; and
• Any other factors that may materially affect market value.

Upon receipt of an objection, the municipal valuer is required to consider the information submitted and determine whether the valuation should be confirmed or adjusted.

APPEALS TO THE VALUATION APPEAL BOARD

If a property owner isn’t very happy with how their objection turned out, don’t worry the story doesn’t end there! The MPRA has a little backup plan. It allows the property owner to take the matter one step further by lodging an appeal with a Valuation Appeal Board set up by the municipality. Think of the Valuation Appeal Board as the fair minded referee of the property world. It operates as an independent tribunal whose job is to take a fresh look at valuation disputes and make sure everything is done properly.

Once the Board reviews the case, it can confirm the valuation (meaning it stays the same), amends it (tweaks it a little), or sets it aside completely if something seems off. All of this ensures that the municipal valuer’s decision isn’t the final word if a property owner believes something went wrong. In short, this appeal process is an important safety net. It gives property owners access to an independent review and helps make sure that valuation disputes are handled fairly and transparently.

FINANCIAL IMPLICATIONS FOR PROPERTY OWNERS

It is important to note that the municipal valuation itself does not determine the amount payable in municipal rates. Municipal rates are calculated by applying the municipality’s rates tariff as adopted in its annual budget to the municipal value of the property. The final rates payable may also be affected by:

• Applicable rebates or reductions;
• Differential rating categories; and
• Exemptions provided for certain classes of property owners.

Nevertheless, an increase in the municipal valuation of a property may result in higher rates liability, depending on the municipality’s applicable tariffs and policies.

Property categorisation has direct financial implications because it determines the tariff that is applied to a property. Municipalities set different tariffs for different property categories in terms of their Rates Policy. This tariff represents the rand and cents amount charged per rand of the property’s municipal valuation. Once a property has been valued, the category assigned to it determines which tariff will be applied in the calculation of municipal rates. As a result, the property category directly influences the final amount payable by the property owner, making accurate categorisation essential to ensure fair and correct billing.

PRACTICAL STEPS FOR PROPERTY OWNERS

In light of the publication of the 2026 GVR, property owners should consider taking the following steps:

• Review the valuation assigned to their property during the inspection period;
• Verify that the property description and recorded details are accurate;
• Compare the valuation with recent sales of comparable properties in the area;
• Obtain professional advice where the valuation appears materially inaccurate; and
• Lodge an objection within the prescribed period where appropriate.

Failure to submit an objection within the official objection period may limit the ability to challenge the valuation at a later stage. Once that objection window closes, the opportunity to question the valuation becomes much harder. The 2026 GVR issued by the eThekwini Metropolitan Municipality is a very important part of the municipal property rating system. In simple terms, it’s the big list that helps determine how much property owners will pay in municipal rates, so yes, it can definitely have a noticeable effect on your wallet. Because of this, property owners should take a little moment to peek at the valuation assigned to their property.

If something seems strange, surprising, or just plain wrong, it’s best to raise those concerns using the proper legal processes. Getting involved early in the valuation process is a smart move. It helps make sure that the valuation of your property stays fair and accurate, and it allows property owners to properly exercise their rights under the MPRA. We urge you to check your valuation, speak up early if something feels off, and do not miss the deadline!