Posted by: Louis J. Bruno [Forum Host] from ool-44c75916.dyn.optonline.net on January 01, 2007 at 07:44:18
In Reply to: Assessed value concern posted by gordon on December 30, 2006 at 14:29:26

Subject: Re: Assessed value concern

The assessed value is used as the basis for determining property taxes. In some assessing districts, it's set at the assessor's idea of full market value (FMV). In most, it's a percentage of FMV. In some, it's related not to FMV but replacement cost. Although assessed values are usually adjusted annually to compensate for selling prices, the value for an individual property may be inaccurate since physical re-assessments are costly and infrequent.
In short, the assessed value is almost meaningless when considering how much to pay for a property. Smart buyers pay an independent appraiser to determine value.

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