different and whether he overpaid.
The house was listed at $420,000 because at that price, the home would sell in a reasonable amount of time. Why would the appraised value not be whatever a buyer was willing to pay? The fact that they paid $420,000 does not mean that is the true value of the home. Certain factors may weigh in — undesirable businesses located near the property, for example. Online valuations cannot take into consideration the condition of the property or the qualities of the neighborhood. Appraisers visit many properties and will often have first-hand knowledge about comparable sold properties that will make the appraised value differ. Honestly, a good appraiser will also reach out to the real estate professionals who sold the properties of which they intend to use in their comparative reports to be sure there aren't any hidden or in accessible knowledge of why a property sold for what it did. Real estate professionals are on the front line and often times have knowledge that appraisers cannot discover from public records. Since an assessed home value is for taxing purposes only, it can be much more or much less than the market value. Ideally, they should be the same, but usually they are not; in some municipalities it may even be based on a percentage of the estimated market value determined by a professional. From legal descriptions to onsite inspections to comparable home-selling prices, the assessor will take all these things into consideration when assessing a home.
PROFESSIONAL APPRAISAL
Nothing better determines the sale price of a piece of real estate but the price at which it actually sells. Houses are not same-priced identical, like cans of tuna on the grocery store shelf or shares of stock on the stock exchange.
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