Market value
What a willing buyer would pay a willing seller, neither under pressure.
Also called fair market value or fair cash value depending on the statute. It is the standard most states use as the starting point for an assessment, measured as of a specific date rather than today.
For an appeal it is one of the two main grounds: the assessor says the property is worth X, and you show that comparable sales say otherwise. It is the more intuitive ground, and often the weaker one, because a single sale proves little and assessors discount evidence that is not adjusted properly.
The date matters more than people expect. A sale from after the valuation date may be irrelevant to the year you are appealing, however recent and however convenient.
Related
- Valuation date — The date your assessment is supposed to reflect, often more than a year before the bill.
- Comparable (comp) — Another property used as evidence — either its sale price or its assessment.
- Uniformity — The requirement that similar properties be assessed alike — the strongest appeal ground.
- Assessed value — The figure your county uses to calculate your tax — not what your house is worth.
Property tax is state law and the details differ. For what applies where you live, see coverage by state and your appeal deadline.