Calculation of usufruct
Usufruct is a real right that can be applied to real property and that grants the use and enjoyment of the property to a person other than the owner. In this sense, the calculation of the value of the usufruct can be of great importance in situations where one is considering selling or buying a property that has a usufruct in force.
The value of the usufruct is determined on the basis of various factors, such as the duration of the usufruct, the value of the property, the use to which the property is put and the age of the usufructuary. From these data, the value of the usufruct can be calculated using a mathematical formula.
There are various ways of calculating the value of the usufruct, but one of the most commonly used is the Scale formula. This formula states that the value of the usufruct is calculated on the basis of the age of the usufructuary, the interest rate and the total value of the property.
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Another formula used to calculate the value of the usufruct is the Scale Property formula. This formula states that the value of the usufruct is calculated on the basis of the value of the property and the value of the bare property. The bare ownership is the part of the property that is not affected by the usufruct, i.e. ownership without the right of use and enjoyment.
A distinction must be made between temporary usufruct and usufruct for life. In the first case, it is calculated at 2% of the total value of the asset for each period of a year, without exceeding 70%, not counting fractions of time of less than a year. In the case of life annuity, it is calculated by subtracting the age of the usufructuary from 89, with a minimum of 10% and a maximum of 70%.
If you have any doubts about the calculation of the value of the usufruct in a real estate property, do not hesitate to consult a professional in the sector.
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