I tried looking this up but didn’t find a satisfying answer. When a home is assessed for its taxable value, why isn’t the market value just used?
I tried looking this up but didn’t find a satisfying answer. When a home is assessed for its taxable value, why isn’t the market value just used?
Absolutely, and just to expand on why they can be wildly inaccurate. Local governments have different ways of updating assessments. Most are simply small increases to the assessment every year. Small enough that they haven’t kept up with the market. If you watch, there are usually huge jumps on assessed value when a property sells because that sale value (aka market value) gets recorded as the assessed value.