Whether you’re searching for your next home to purchase or considering selling your current property, your home’s assessed value is important to know through every stage of homeownership.
The assessed value of your home is the estimate of your home’s worth in the current market, and this amount is what's used to determine your yearly property taxes.
As a homeowner, knowing your assessed property value can help you budget your money more effectively for property taxes and understand if you have enough equity built up to borrow a home loan.
If you purchased your home years prior and are considering selling the property, the current value has most likely greatly increased, so knowing the assessed price of your home can help when deciding how much to list your home for.
To calculate your home's assessed value, the market value of the home is multiplied by the decimal form of the assessment rate. The formula for this is:
Assessed Value = Market Value x (Assessment Rate / 100)
So, what’s the difference between assessment and an appraisal? The appraised value of your home is how much the property is worth on the market whereas the assessment is the number used by your local government to determine property taxes.
During an appraisal, usually a state licensed appraiser is sent out by a mortgage lender to examine the property. During the examination they observe the foundation, structure, square footage, HVAC system and more.
For assessments, your local government hires professional assessors to use data about the home, including previous years appraisals, to determine the worth of the property and how much taxes need to be paid on the property.
The assessed value of your home is constantly changing due to market conditions. Staying up to date with this information can prepare you, regardless of what step you’re on in the journey of homeownership.
I've been listing and selling in Wilmington and surrounding areas since 1987 and have been affiliated with Fudge Properties since 2007. I have a strong reputation for outstanding quality of both work and interpersonal relationships, knowing what needs to be done and how to elicit cooperation for getting it done. I'm also proficient and knowledgeable about the Mass Housing program guidelines, successfully completing numerous housing lotteries for first time home buyers, over 55 buyers and renters. Whether you're buying or selling, I can help you get the best deal. Just looking? That's OK. Use my website all you like, but you'll have to create a free account to unlock all the best search features. Once you sign up, you'll be able to save listings, save your search criteria, get automated email updates for new homes matching your saved search criteria, and more. Good luck on your house hunt! I hope to hear from you soon.
