What is the Difference between Sale Price & Assessment?
Here is one of the most commonly asked questions at Assessment Notice time: We recently purchased a property, why is it assessed at a different price then the purchase price?
This could be due to a couple of reason:
First, the motivation of the buyers and sellers can affect sale price. Therefore, when very similar properties are sold during the same time frame, a range of sale prices can result. The market value assessment reflects sales in the middle of this range of prices. As a result, the assessment could be higher or lower than a specific selling price.
Second, market values may have changed between valuation day and the date you made your purchase. For example, in some areas, market values have increased since January 1. If this has happened in your area and you have only recently purchased your property, it is possible that your assessment, while representative of your type of home 3 or 4 months ago, will be lower than your purchase price.
The purpose of the assessment roll is not to reflect a single sale price, but to assess all properties at market value on the same valuation date, so that taxation is fairly and uniformly shared.
IDX information is provided exclusively for consumers’ personal, non-commercial use and may not be used for any purpose other than to identify prospective properties consumers may be interested in purchasing. Data is deemed reliable but is not guaranteed accurate by the MLS
Listing Data updated: July 13, 2020, 4:40 am
IDX information provided by the Indiana Regional MLS