Essay On Fair Market Value

736 Words3 Pages

What in your opinion is the hardest decision to make when deciding to buy or sell a home? Were you thinking “how much is it worth”? If so then do not worry because you are not alone! Understanding the value of a home can be very difficult. When embarking on the journey of understanding what a home is worth, understanding the difference between Market Value and the Fair Market Value is a great place to start! Fair Market Value According to The Business Dictionary fair market value is described as the possible price at which a buyer and a seller who both understand the relevant facts and neither have compulsions to buy or sell will agree to. This basically means that neither party are eager to make deal and neither have any emotional attachment to the home. Fair market …show more content…

That is why majority of homes are listed at a price far different from what the fair market value is. Market value is essentially what a buyer is willing to pay for your home. Imagine a homeseller has recently been given a job promotion and is required to relocate ASAP. They might be willing to accept a lower offer on their home then if they had ample time to perform in market. Now imagine a buyer who is most concerned with their children's education, they might be willing to pay more for a home because it belongs to a prestigious school district. There are so many different factors that can affect a home's value. This is where we suggest that you contact and interview multiple Realtors. Your local Realtor is knowledgeable about home values in your market. They will inspect your home then compare it to other like properties that have sold in your neighborhood recently to decide how much your home could yield on market. Be Smart, Know Your Options! As Sir Frances Bacon said, “knowledge is power” so do yourself a favor and start understanding what contributes to a home's value in your local

More about Essay On Fair Market Value

Open Document