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.
Barbara started in Real Estate in 2006 after another Realtor told her that her personality made her a perfect fit for the industry. There is no doubt that Barbara’s lively personality and warm heart make her an awesome Realtor. Barbara was born in Italy and speaks fluent Italian. She grew up in Medford and eventually moved to Everett where she resides today. Her personality combined with her background in home insurance and customer service make her experienced in multiple facets of Real Estate and willing to work hard to help her clients achieve their goals. In my spare time I volunteer at animal shelters and foster dogs until we find their forever home. I am also proud to say that with every transaction I complete, a portion of my commission is donated to a local animal shelter.
