My father in law is selling his house. New wife talked to realtors and reduced the price by $10,000. I just looked it up on the appraisal and tax website and it's worth $30,000 more than she's asking even tho the appraisal is generally lower. Why is it lower? I remember looking up my house and it was lower. But there still stands the question of why she would want to sell it for that much less.
2006-11-15 23:12:02 · 5 answers · asked by Silky 1 in Business & Finance ➔ Renting & Real Estate
Appraised values for tax purposes are set by law, not necessarily by current market value. Because homes are bought and sold, daily, the assessors could not possibly keep up with changing values.
Often times, deals are struck between buyers and sellers that affect the sales price. For example, a homeowner buys a home and includes wall-to-wall carpet in the purchase price. He sells to a homeowner who has trouble getting a mortgage, so the buyer and seller count carpeting as a contents item, reducing the sales price on the house by $10,000, so the mortgage can go through.
In my state, there is a "green space" law that says a homeowner with more than 10 acres of country property, that is open to the public, can have the property assessed and pay taxes as if it were a farm. Some very rich people in my area, 477 according to news reports, are paying about 10% of the amount that would otherwise be owed. And they have "no trespassing" signs posted.
2006-11-15 23:27:20 · answer #1 · answered by regerugged 7 · 0⤊ 0⤋
Is the appraisal/tax website you visited ran by the government? Many times, those sites are outdated and based on previous information. It sounds like the bottom has dropped in the housing market area you live in. It seems as though prices are dropping and that is why the appraisal is lower than the "assumed value" of the house. Appraisers look at the general condition of the house and then compare it to comparable houses in the area to derive the value of the house. If other comparable houses are selling for less, that would explain why the appraisal is less.
2006-11-15 23:21:41 · answer #2 · answered by Mirus Era 3 · 0⤊ 0⤋
A house is only worth what someone will pay for it. If she has been advised that for a quick sale the price should be lowered then that is probably what has happened. Valuations for tax purposes rarely match what you could buy or sell a house for as they are always out of date. If the property market is booming the value will be lower than you could get, if the property market is in trouble it could well be higher.
2006-11-15 23:22:37 · answer #3 · answered by Anonymous · 1⤊ 0⤋
The economist that I positioned my faith in, Harry Dent, says that homestead fees are headed to 1996 ranges in approximately 3 years. If he's splendid, and of direction no longer something says he's, then from strictly a money point of view, you would be extra helpful off saving the $20,000, merchandising the homestead, and procuring it returned on the top of 2012 for plenty below on the instant's appraisal. residences of direction are additionally properties, so in case you like the community, the friends, the colleges, then that's a distinctive equation.
2016-10-22 04:40:27 · answer #4 · answered by ? 4 · 0⤊ 0⤋
Market values and Tax values are two different things. Remember the buyer sets the price. If the home hasn't sold, it's most likely the price.
2006-11-16 00:39:17 · answer #5 · answered by Anonymous · 0⤊ 0⤋