Can State Equalized Value, Assessed Value, Or True Cash Value Help You Determine Value Of Home?
Can State Equalized Value, Assessed Value, or True Cash Value help you determine a homes value? I obtained these "values" from the local tax assesors website (Detroit). I found a bank foreclosed home and the realtor told me the price was $29,900. The values are: SEV - $20,150 AV = $20,150 TCV = $40,300. What does True Cash Value mean? Thanks...
The SEV usually is not the right value to use to determine market value. This is usually lower then then market value. Not sure about the other though. I would use a realtors comps to determine value when making an offer.
The best way to determine value for a house is through a CMA, comparative market analysis. Any good real estate agent can do this for you for free. It is a comparison of all the recently sold properties in the area that closely resemble the house that you have. As payment for his service, you may want to offer him/her the listing to sell the house for you after you buy and rehab it. It's a great way of establishing a relationship with a professional in the field.
Don't forget to tell him/her that you are an investor. He may have a great deal sitting on his desk waiting just for you. If not, the next time one comes his way, guess who he'll call.