Why is the City’s assessed value different from a private appraiser’s estimate of fair market value I obtained recently?
In general, both estimates of value are arrived at using the same general principals, but can result in different figures because the purpose of each is different. The private (fee) appraiser is completing a site specific single property appraisal usually for a mortgage lender as an estimate of the property’s value on that specific date for use in determining the appropriateness of a proposed loan. The City Assessor’s Office is completing a mass appraisal of approximately 22,000 properties at once in order to value all properties for tax equity purposes. The fee appraiser typically arrives at a value by comparing your property to three similar properties that have recently sold and then adjusting those sales prices based on the way yours differs from those properties. The Assessor’s Office generates a value for your property by first calculating the cost to replace your home with an identical new home and then adjusting that Replacement Cost New value for age and condition depreciation
Related Questions
- When I received my "Change of Assessment" notice, it had the Fair Market Value, the Taxable Value, and the Gross Assessed Value. What do these different values mean?
- Why is the City’s assessed value different from a private appraiser’s estimate of fair market value I obtained recently?
- Why do assessed values differ from the assessors estimate of actual (market) value?
