mortgage insurance.
Assessed value is the amount designated by local or state government for a specific property and often differs from market or appraisal value. This assessed value is used as the basis for property tax. Approximately 60% of U.S. properties are assessed higher than their current market value. WHAT IS YOUR HOME WORTH? The first step in selling your home is understanding the difference between value, worth, and price. Let's examine the determining factors. Understanding these factors allows them to be leveraged. There are several ways a home's value is derived. PROFESSIONAL APPRAISAL The sale price of real estate is ultimately determined by the price at which it sells. Houses are not identical commodities like cans of tuna on a grocery store shelf or shares of stock traded daily. Real estate appraisal ("property valuation") is the process of developing a perspective of value for real property. This is the market value — what a willing, reasonable buyer would pay a willing, reasonable seller. Real estate transactions generally require appraisals because they happen infrequently, and each property has unique features. An appraisal helps in various decision points. The seller can use the appraisal as a basis for pricing. The buyer can use it as a gauge to base an offer. Lenders use appraisals to determine how much money to lend. The essential factors in a house appraisal include: Dwelling type (e.g., one-story, two-story, split-level, factory- built) Features (including design) — materials used, type of structure, and construction quality
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