page of this book if you would like more information on how to request a free home valuation. EXAMPLE OF DIFFERING HOME VALUATIONS: Let’s say a buyer is interested in a home listed a t $420,000. Th e online valuation determines the house is worth $440,000. Based on that estimate, the buyer o ff ers the asking price. When a professional appraisal comes in at $400,000, and the existing tax records assess the home at $300,000, the buyer wonders why the values are s o diff erent, and if he overpaid. Th e house was listed at $420,000 because at that price, the home would sell in a reasonable amount of time. Why wouldn’t the appraised value be whatever a buyer was willing to pa y? Th e fact that they paid $420,000 doesn’t mean that is the true value of the home. Certain factors may weigh in (undesirable businesses located near the property, for example). Online valuations can’t take into consideration the condition of the property, or the qualities of the neighborhood. 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 aren’t. It’s based on a percentage of the appraised value determined by a professional. From legal descriptions to onsite inspections to comparable home-selling prices, the assessor will take all these items into consideration when appraising a home. Location near industry, high tra ffi c, or potential development will also a ff ect the appraisal. A CRITICAL PART OF SELLING YOUR HOME FOR MORE We’ve seen that there’s no calculable certainty in setting the value of a home . Th ere can be wid e diff erences between the seller’s assessed price, the asking or listing (market price value), and the
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