Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
You can't determine tax value from market appraisal or vice versa. They are 2 separate and unrelated entities.
Tax appraisals are very general. They are a weighted average of what nearby houses sold for over the last few years with similar land acreage and square footage. Most tax appraisers never even set foot in the house, so they don't take into account the condition of the house. This is why there is usually an appeals process for tax appraisals. It's very common for tax appraisals to be completely out of line with what the house could sell for in the market.
OTOH, market appraisers will enter the house, and account for any attributes that enhance or detract from the marketability of the house. They will also look at houses that sold within the past 6 months within 1 mile of the subject property, and also determine the direction of the demand for that particular neighborhood.
If a person has to guess, then there is no reason to rack the brain trying to figure it out.
In this economy, advanced appraisal methods are best. In a typical, healthy, economy, then typical appraisal methods are best. Additionally, in this type of economy, the cost approach to value is significant. And, when rents become more popular in given areas, then the income approach becomes highly significant. There is nothing that can be compared to an Appraisal.
When the taxing authority reassesses, they usually have what is called, "Assessor Agents." These agents are not Appraisers. They will use a model called "mass appraisal." This model is not reflective of a true Appraisal. The tax value is called, "Assessment." ~ Ad Valorem
Usually, in-between re-assessments, the Assessor will record the new sales price, because the property is usually appraised. This sales price, after closing, normally becomes the new "Assessment."
Appraisers are not in the business of guessing, because some one cannot simply guess, unless some one is looking to get a listing or trying to convince a buyer this is what the price should be...(the guessing game!)
Guessing? Guessing is for the birds, zillow (its competitors), tax authorities, National Association of Realtors, Incompetent appraisers, and websites who try to lure in customers that offer them a chance to know the market value of a home. AVMs is what Zillow uses, and all those websites that try to advertise, "what is your home worth?" It is nothing but guesses and propaganda.
Guessing: Data mining will be the next wave of fraud that will bring this economy down to its knees again. Guessing, and then making people believe the guess is right, will be the next type of detrimental behavior that will blow this economy up.
If it gives you any idea how they compare, our last house when we sold it was worth roughly half our tax assessment. Our current house, when we bought it, was worth 3 times the tax assessment.
Tax appraisals and market value appraisals are completely different things. In many parts of the US- especially in non-disclosure states like Texas where what the buyer pays is NOT public record- tax appraisals are directionally correct (ie, lots in desirable areas with great schools are taxed at higher values than crime-ridden neighborhoods with bad schools, corner lots or cul-de-sacs appraise higher than interior lots or lots on busy streets, etc)....but should be of NO basis when figuring out what kind of an offer to make.
To determine an appropriate offer based on current market price, recent "solds" in the same neighborhood should be examined for DOM and $/sf, as well as finish-out and qualify. This is all info your realtor should be able to provide for you.
Tax appraisals and market value appraisals are completely different things. In many parts of the US- especially in non-disclosure states like Texas where what the buyer pays is NOT public record- tax appraisals are directionally correct (ie, lots in desirable areas with great schools are taxed at higher values than crime-ridden neighborhoods with bad schools, corner lots or cul-de-sacs appraise higher than interior lots or lots on busy streets, etc)....but should be of NO basis when figuring out what kind of an offer to make.
To determine an appropriate offer based on current market price, recent "solds" in the same neighborhood should be examined for DOM and $/sf, as well as finish-out and qualify. This is all info your realtor should be able to provide for you.
Yes... our realtor provided comps that supported the price that I'd thought we would offer if we decide to proceed. I felt rather good about having correctly surmised what it would be without his help.
Now, to figure out if the house will work for us...
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
