| ng accustomed to real estate terminology can be | | | | available online, so that members of the public are |
| an intimidating prospect for most people. After all, | | | | able to do a basic level of self-assessment of |
| buying a home is a fairly complex business | | | | their property. Though this may not be exactly |
| transaction involving large enough dollar figures to | | | | the same as the real estate assessment done by |
| make anyone edgy, and it is not something you | | | | the assessor, it can give you a general guide as |
| go through very often. When you are buying or | | | | to how much your property is worth. |
| selling a home, it is in your best interest to | | | | Appraisal |
| educate yourself about the different terms that | | | | A real estate appraisal must done by a licensed |
| are used in the industry on a regular basis. When | | | | appraiser. An appraisal is required most of the |
| getting your property valued, it is important for | | | | time when a mortgage is being taken out on a |
| you to understand the difference between a real | | | | home that is being purchased. It is the lender, not |
| estate appraisal and a real estate assessment. | | | | the local government, who has the primary stake |
| Assessment | | | | in the accuracy of the appraisal, as it is an |
| A real estate assessment is typically done by a | | | | essential part of determining the size of the loan. |
| county officer to determine an approximate value | | | | Those who are preparing their home to sell also |
| of a property. This is for the purpose of | | | | sometimes have an appraisal completed, to get a |
| determining how much annual tax will be due to | | | | firm idea as to the best asking price. |
| the governing authority to pay for local facilities, | | | | The difference between the real estate appraisal |
| nost notably schools. This valuation is typically | | | | and the real estate assessment is that the |
| determined based on the location of the property | | | | licensed appraiser is hired to do a specific real |
| and the real estate values of the surrounding | | | | estate appraisal on the property in question. This |
| area. Each county has an assessor who has the | | | | real estate appraisal is more detailed and far more |
| job of calculating the value of all of the property | | | | accurate in terms of determining the value of the |
| in the county year by year. | | | | property in question. The assessment, on the |
| This type of valuation is not considered to be as | | | | other hand, may or may not reflect a market |
| accurate as that given by a real estate appraisal, | | | | value but is instead only "for tax purposes." |
| and the value determined by the assessment is | | | | Depending on the jurisdiction it may be out of |
| used to calculate the tax payable on the property | | | | touch with the real market, but as long as the |
| in question. The assessment value is not | | | | valuation is relatively proportionate to the |
| acceptable for mortgage approval purposes. | | | | valuation of other homes in the area it constitutes |
| Many counties have the assessment guidelines | | | | a fair basis for property tax. |